【Dapp Pocket】Join liquidity mining! The oil fields and tools you must know

The liquidity mining yield farming of the DeFi lending platform giant Compound has received high praise, with its Total Value Locked (TVL) even surpassing the long-standing leader Maker at one point. The success of the Compound model has brought back the popularity of "miner 2.0" as a profession. Numerous DeFi platforms have also joined this battlefield. As a member of the DeFi family, do you know which good oil fields are worth exploring? And what are the essential tools for liquidity mining that one must master?

Compound is currently one of the top DeFi lending platforms in terms of locked value. Liquidity mining on Compound is straightforward, where users automatically earn COMP tokens in proportion to the value they lend or borrow on the platform. The speed at which COMP is earned is directly proportional to the total value of assets supplied to the platform, rather than traditional interest rates or returns. For instance, depositing 100 Dai may yield around 0.05 COMP in a year. 2880 COMP tokens are distributed daily, with the distribution expected to be completed within four years, accounting for 42.3% of the total COMP supply. Holders have the authority to propose, vote, and implement changes to the protocol.

Balancer is the largest automated market maker (AMM) in the market. Users can create new liquidity pools, trade within existing pools, or provide liquidity to the pools. Currently, users can earn BAL tokens by providing liquidity to Balancer. The rate at which BAL tokens are earned is related to the fees of the pool, with lower-fee pools allowing for faster accumulation of BAL tokens. 145,000 BAL tokens are distributed weekly, granting holders the right to propose, vote, and implement changes to the protocol.

Synthetix is the fourth-largest DeFi platform in terms of locked value, offering synthetic asset and token trading services; Curve is a stablecoin exchange platform providing low-cost and low-slippage trading; Ren offers cross-chain services, allowing users to convert non-Ethereum tokens like BTC, BCH, into ERC-20 tokens like renBTC. Through the collaboration of these three platforms, users can provide liquidity for WBTC, renBTC, and sBTC on Synthetix's Dapp - Mintr to earn governance tokens from the four major platforms: BAL, SNX, REN, and CRV.

mStable is a stablecoin aggregator protocol that aims to integrate various types of stablecoins in the market. The governance token of mStable, MTA, started distribution on Balancer on July 15th, allowing users to mint mUSD by depositing any stablecoin into mStable. By providing liquidity in the mUSD/USDC or mUSD/WETH pools on Balancer, users can earn MTA tokens, with the distribution amount based on the size of their assets. Currently, the MTA deposited in Balancer accounts for approximately 2.8% of the total supply. MTA grants holders the authority to propose, vote, and implement changes to the protocol.

YFI is the governance token launched on July 18th by yearn, applicable to all platforms within the yearn ecosystem. YFI holders can participate in decision-making and voting across various platforms within the yearn ecosystem, as well as allocate the generated earnings. Platforms within the yearn ecosystem include the stablecoin management platform yearn.finance, iliquidate.finance providing an Aave liquidation engine, and ileverage.finance for stablecoin leveraged investments, among others. By providing liquidity in the Y Pool on the stablecoin trading platform Curve, users can obtain the ytoken, a yearn-exclusive LP Token. Staking this LP Token in the Dai/YFI pool on Balancer will yield YFI tokens. Alternatively, providing liquidity in the Dai/YFI pool on Balancer and staking the received BPT Token in ygov.finance can also yield YFI.

Predictions.Exchange

Predictions.Exchange is a DeFi market browser and liquidity mining yield calculator. Users can easily calculate the expected returns from participating in liquidity mining on the website. Currently, the site offers return calculations for Balancer, Compound, and upcoming Curve. Users can choose a platform, input the expected deposit amount, and calculate the annualized return.

Dapp Pocket

Dapp Pocket is a smart wallet app that integrates Dapp platforms, allowing users to directly link their wallets in smartphones to operate liquidity mining on DeFi platforms. The app currently supports iOS and Android systems.

InstaDapp

InstaDapp is a DeFi integrator that allows users to browse and use services provided by various DeFi platforms, including liquidity mining.

Yield Farmer

Follow various liquidity mining news on the Twitter account Yield Farmer.

In addition to the platforms currently open for liquidity mining, various DeFi platforms such as Aave and DMM have also released news about upcoming liquidity mining opportunities. From the explosion of Compound, mStable, all the way to yearn, the liquidity mining trend is becoming increasingly popular by the day! Haven't joined the DeFi bandwagon yet because you find it too challenging? Don't worry, in the next post, I will guide you step by step on how to start your first liquidity mining venture!

【This article is authorized for reprint by Dapp Pocket. The above tools are for reference only and not the only options】