We’ll going to have our first PURSE AMA! Mark your calendar on Jun 23, 2022 09:00 PM GMT+8 and register here to join:Meeting Registration - Zoom
Developer Yanping and data analyst Kevin will share the updates
Leave you questions about PURSE here in the comments and we’ll answer them during the session!
Do you have any plans to add Amazon gift cards to redeem with Purse Token the same you did with Netflix?
Thank you all for the questions! Remember to register to join the session Meeting Registration - Zoom
See you later!
Farms has a higher APR because when yield farmers provide liquidity to a DEX like Pancakeswap/Uniswap, they are entitled to receive a portion of the trading fee ~ 0.3% (usually) and is shared based on their total liquidity share. They earn fees on a daily basis.
- Have to provide an equal amount of 2 different token to the pool
- Earn a portion of the trading fee ~ 0.3% based on your liquidity share
- APR fluctuate constantly depending on the volume traded so it is not fixed
Higher volume = More Fees = Higher APR
Farms are exposed to impermanent loss risk.
Staking has a lower APR because it doesn’t have any impermanent loss risk (Single Token) because its main function is to secure the blockchain, earn block rewards and not to provide liquidity.
- APR depends on Block Emission Rate
- Single token staking - no LP risks
- Mainly for securing the blockchain / earning block rewards
Farms focuses on gaining the highest yield with higher risks while staking is for earning consistent block rewards. Both has its pros and cons.
- This is staking vs farming - BDL is just a bonus mechanism.
The explanation above can be applied to every coin - whether it has BDL or not.
I can see the same question being asked again once FXSwap goes live. FX doesn’t have BDL but FX farms will definitely have higher APR than its staking APR.