Announcing Double Farms: AnetaBTC Incentives on Minswap!
TLDR; The first Double Farm on Minswap will be in partnership with AnetaBTC, and will consist of $cNETA rewards to $cNETA/$ADA Liquidity Providers starting on May 12th. We also explain the mechanism behind the Double Farms and introduce a new Farm Tier.
Today, we’re excited to announce our first Double Reward Farm, with our partner AnetaBTC!
AnetaBTC has been a long time partner of Minswap. They have won over Minswap’s and the Cardano community’s hearts with their drive to constantly engage with the greater Cardano community. AnetaBTC’s community-first approach, coupled with the aim to build cross-protocol relationships that empower the ecosystem as a whole, is one we deeply share. We couldn’t be more excited to have them as our first Double Farm Partner!
$cNETA + $MIN Double Farm on Minswap
Minswap’s Double Reward system allows other Protocols to reward their Liquidity Providers with their own Cardano Native Token. In the case of AnetaBTC, this means Liquidity Providers who are Yield Farming on the $ADA/$cNETA Pair on Minswap, will not only be eligible for $MIN Rewards, but will also be able to claim $cNETA Rewards on top.
If you do not currently have any $cNETA/$ADA LP Tokens Staked for Yield Farming or on the MINt Conversion Contract, here is what you need to do to get $MIN and $cNETA Double Rewards starting on May 12th:
- Provide Liquidity in the $cNETA/$ADA on Minswap here, to receive your LP tokens.
- Stake your $cNETA/$ADA LP tokens here.
- Harvest your $cNETA & $MIN rewards at any time!
It is to be noted that the cNETA Token is an indivisible Token. Since the amount of cNETA distributed is small in terms of numbers, and cNETA has no decimals, users need to wait until they have accumulated at least 1 cNETA to be eligible to claim their cNETA rewards. Therefore, even though the cNETA rewards accumulate no matter how many $cNETA/$ADA LP tokens you have, you may only redeem cNETA rewards if you have accumulated more than 1 $cNETA. The way the system works is that, when you want to claim your accumulated $MIN Rewards, you will automatically also redeem the $cNETA.
10 million $cNETA (0.5% of the total supply) has been allocated linearly over the time period of 1 year for the Double Farm. This means that the 10 million $cNETA will be distributed equally everyday for 1 year, meaning ~27k $cNETA every day is distributed to those staking their $cNETA/$ADA LP Tokens on Minswap.
Double Farm Mechanism on Minswap
The Double Farm Mechanism on Minswap works essentially the same way as normal Farms do. Every time a user stakes new LP Tokens or withdraws part of the LP Tokens staked, the accumulated rewards in both tokens are sent and the new amount of LP Tokens starts earning rewards. Just that instead of only earning $MIN rewards, you earn an extra token on top. For a more comprehensive view of how Yield Farming works on Minswap, please read the following Section in our Documents.
In addition, if your LP Tokens are semi-locked and staked in the MINt conversion Contract, and those LP Tokens have a Double Farm active, then you will also automatically receive the non-$MIN token on top. So, if your $cNETA/$ADA LP Tokens are staked in the Yield Farming Contract or in the MINt Staking Contract, you will not need to take any steps to start receiving $cNETA as well. Please note, the bonus on the LP Tokens staked in the MINt Staking Contract applies to $MIN tokens exculsively.
Introducing: the Mouse Farm 🐭
In the past few weeks, several projects have reached out to Minswap interested in offering a Double Farm with their token on the Minswap DEX. Double Farms are beneficial for other protocols, as by offering extra incentives, protocols can build up Liquidity for their token on the Minswap DEX.
However, some of these projects do not currently have a $MIN Farm, as they have not yet met the requirements that were decided upon with the community to get a $MIN Farm. Our Double Farm Smart Contract requires that both $MIN rewards and the other protocol’s token be given, it cannot be deployed solely for one token. For this purpose, we are introducing a new Farm Tier: the Mouse Farm.
The Mouse Farm will be a Farm with a very low $MIN allocation (lower than the Dog Farm), aimed for the first 2 weeks of a project that wants to introduce a Double Farm. After the initial 2 weeks in the Mouse Farm, Farm points will be adjusted, and the project might move up in the Farm Tiers depending on the TVL and Trading Volume of the Pool.
If your protocol is interested in having a Double Farm on Minswap, please reach out in our Discord. It is then highly recommended that the Protocol that wants to be included in the Mouse Farm do a Forum Proposal on the Minswap Forum, giving an overview of the Project and the Tokenomics, such as the following Proposal by NuNet.
We look forward to onboarding more projects into our Double Farms! Happy Double Farming! 🚜🌾