Liquidity Pools and Farms

The easiest way to take part in the BorpaToken supply distribution is by providing liquidity to our farms. Users provide liquidity to Borpa farms and start generating yield. We propose a range of whitelisted farms across multiple blockchains. Users provide liquidity, this creates a LP position on our partner's DEX AMM, which is then staked in our custom contracts. This process mints a Composable Derivative Token (CDT) that permits users to borrow against their interest-earning positions, already earning swap fees and $BORPA rewards.

Providing liquidity inside our farms makes users eligible for $BORPA incentives, which come in a unique two-token system:

  • You get 30% of your rewards upfront in BORPA tokens

  • The remaining 70% is given as xBORPA tokens, which are gradually unlocked over a 28-day period

It’s important to note that only the death pools (BORPA/ETH, BORPA/wBNB, and BORPA/SOL pairs) receive their tokens in a 30/70 split. For all other whitelisted assets, they receive their rewards 100% in xBORPA. This design helps us maintain a bullish price momentum on the token, as you either need to take exposure to receive liquid BORPA or actively participate in the redeem and slashing concept.

You can choose to slash your xBORPA for liquid BORPA tokens anytime you want! Depending on when you initiate the slash transaction, the number of liquid tokens you receive will differ. This paves the way for complex strategies, where one might decide to slash their early rewards to rapidly compound returns, while others may decide to not trigger the redeem period, allocating their xBORPA to the boosting module instead.

Example 1:

  • User A invests $10K in the BORPA/ETH Ethereum farm.

  • Claims rewards: 2M liquid BORPA and 4.66M xBORPA, starts redeem period.

  • After 10 days, decides to slash his xBORPA position for 1.66M liquid BORPA tokens (10/28 * 4.66M).

  • Remaining 3M xBORPA destroyed, reducing total memetoken supply by 3M BORPA.

Example 2:

  • User A invests $10K in the USDC/USDT BNBchain farm.

  • Claims rewards: 1M vested xBORPA and starts redeem period.

  • After 14 days, decides to slash his xBORPA position for 500K liquid BORPA tokens (14/28 * 1M).

  • Remaining 500K xBORPA destroyed, reducing total memetoken supply by 500K BORPA.

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