🌾 Yield Farming

🌐 Yield Farming Overview

Yield farming allows players and investors to earn additional rewards by providing liquidity to the $SHIBALL–USDT pool on QuickSwap (and later, other DEXs).

When you add liquidity, you receive LP tokens, which represent your share of the pool. These LP tokens earn trading fees, and when you stake them in our farming contracts, you receive extra rewards in $SHIBALL.

Thus, yield farming combines:

  • 💧 Liquidity Provision → Earn fees by supporting the pool.

  • 🌱 Farming → Stake LP tokens to earn extra $SHIBALL.


📐 Yield Farming Reward Formula

Ystk=R×(ωAllGroupsωGroup​​)×(TotalGroupProductivityUserProductivity)Ystk​=R×(∑ωAllGroups​ωGroup​​)×(TotalGroupProductivityUserProductivity​)

Where:

  • Ystk → User’s farming reward.

  • R → Total rewards allocated in the cycle.

  • ωGroup → Weight of the liquidity group (based on tier/division).

  • ∑ωAllGroups → Sum of all group weights.

  • User Productivity → User’s LP tokens × farming time.

  • Total Group Productivity → Total LP tokens × time of the entire group.

👉 This ensures proportional and fair distribution of rewards.


💰 Yield Farming Fees

To encourage long-term liquidity, a dynamic fee applies:

Formula 1 – Time-based decreasing fee

Fee(S)=Xinit(SmaxS)×(XinitXfin)Fee(S)=Xinit​−(Smax​S​)×(Xinit​−Xfin​)

Where:

  • Xinit = Initial fee (e.g., 15%).

  • Xfin = Final fee (e.g., 2%).

  • Smax = Maximum lockup period (e.g., 52 weeks).

  • S = Time staked so far.

👉 The longer your LP tokens are staked, the lower the fee, rewarding loyalty.


📊 Formula 1.2 – Volatility Adjustment

V={σdailyσthresholdif σdailyσthreshold(σthresholdσdaily)if σdaily<σthreshold V = \begin{cases} \sigma_{daily} - \sigma_{threshold} & \text{if } \sigma_{daily} \geq \sigma_{threshold} \\ -(\sigma_{threshold} - \sigma_{daily}) & \text{if } \sigma_{daily} < \sigma_{threshold} \end{cases}

Where:

  • σdaily = Daily volatility (price fluctuation).

  • σthreshold = Benchmark volatility level.

  • V = Adjustment factor (positive in high volatility, negative in calm markets).

👉 This makes fees adaptive to market conditions:

  • 📈 If volatility is high → higher fees (risk protection).

  • 📉 If volatility is low → lower fees (rewarding stability).


⚽ Why Yield Farm with $SHIBALL?

  • 🔒 Extra Rewards: Boost your income on top of staking.

  • 💧 Liquidity Incentives: Earn trading fees + $SHIBALL simultaneously.

  • 🏆 Exclusive Benefits: LP farmers may unlock unique NFTs and tournament bonuses.

  • 📊 Dynamic System: Fees decrease over time and adapt to market conditions, ensuring fairness.

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