🌋Volcano (farm)

Flame Swap Volcano (Farm) allows users to support Flame Swap and earn FPT and other tokens by staking LP tokens (liquidity certificates).

! Volcanoes (farms) have higher yields than magma pools (pools), but at the same time they have the risk of uncompensated losses. Don’t worry, it’s not as scary as it sounds, but it’s worth taking your time to understand it properly before getting started with yield farming.

Reward Calculation

The annual interest rate of Volcano Farm consists of 2 parts:

· Rewards for providing liquidity (rewards from transaction fees)

· $Flame rewards obtained by staking LP tokens (liquidity certificates) to Volcano Farm

Why are there 2 parts?

Because when you stake your LP tokens on the farm to earn Flame, you are still providing liquidity to the liquidity pool, so you can also earn LP fee rewards at the same time!

How to use Volcano Farm

Using Volcano Farms on FlameSwap is very easy!

The staking function of Volcano Farm is a great way for users to obtain Flame rewards on FlameSwap. Unlike staking in pools, using a farm requires you to provide liquidity of a token pair (composed of two tokens) to obtain LP tokens (LP tokens), and then you stake them in the volcano farm to get rewards. This allows you to earn $Flame while still holding the original two tokens and earning LP rewards.