Strategy 1: Automatic self composition
This simple strategy helps users maximize liquidity mining returns by automating swaps and reinvestment.
- The user picks a blockchain to stake on, chooses a pool in the Risk/Return matrix, then deposits the eligible stablecoin of his choice also thanks to the zapper function.
- Stablecomp automatically swaps the stablecoin on a Decentralized exchange to obtain an asset pair.
- The obtained assets are then staked in a Liquidity Pool, which returns Liquidity Pool Tokens (LPTs).
- LPTs flow into a farm where they generate reward tokens (RT) and store Swap Fees.
- Stablecomp automatically compounds the Swap Fees in the farm and sells the reward tokens, converts them,and reinvestment them in the Liquidity Pool.