DeHive ⚡️Impulse: The Automatic Compound Interest Tool for DeFi

Team DeHive
Published in
3 min readSep 29, 2021


We recently talked about the difference between APY and APR and some ways to boost your APY up to 300%. Among the most effective methods, we’ve mentioned the possibility of getting compound interest in crypto. Such an instrument would be especially helpful if it were automatic, and users didn’t have to perform any actions manually.

So today, we are proud to announce that we are currently developing our first automatic compound interest in DeFi. So please give it up to DeHive Impulse, the technology that will significantly facilitate your trading and boost profit.

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What is 💫compound interest?

If you missed our previous articles, let us remind you quickly how compound interest works.

Compound interest is the interest on a deposit that considers the primary investment and all the interest gained over time, allowing you to get interest on interest automatically.

In traditional finance, automatic compound interest shows the best results in years after the initial investment. However, in DeFi, this technology has emerged pretty recently and shown much faster and more impressive outcomes. This is connected with the high volatility of cryptocurrencies and, thus, the possibility of higher interest.

For instance, if your annual interest is 20%, compound interest will help you get 22% profit. If it is 40%, you’ll get a 48% compound interest result. But if you invest in DeFi and get a 100% annual interest rate, your final profit will reach 300%.

How does compound interest work in DeFi?

In the crypto world, auto compound interest is very rare, so users mostly complete all the necessary steps manually. Here’s what it usually looks like:

  1. Users add funds into a liquidity pair on the exchange (for instance, Quickswap) and get LP tokens in a proportion equal to the sum of the initial investment.
  2. Then, they have to farm reward tokens with some APR.
  3. As the farming is done, they get back to Quickswap and claim the farming rewards.
  4. Next, users divide new tokens and swap them equally in order to create a pair.
  5. Finally, they add liquidity, and the circle starts all over again.

In the case of manual compounding, users can go on and on with this sequence, repeating it an endless number of times. Yet, this way, they get a lot of headaches along with the higher profit — too many transactions to handle, high gas fees, and never-ending confirmations.

In the meantime, with automatic compounding, users only need to make the initial investment transaction and wait till the moment when they can withdraw the funds. Sounds much easier, right? And it definitely is easier and faster — this is something we realized while getting ready with DeHive Impulse.

What about DeHive ⚡️Impulse?

At DeHive, we’ve been experimenting with compound interest technology for a while and finally got to developing our own automatic compound interest tool — DeHive Impulse.

DeHive Impulse is an instrument that will allow you to get automatic compound interest on the existing liquidity pools. It is aimed to facilitate traders’ lives and enable making profit in just one click.

And it’s actually as easy as that. Users will only need to add funds into a liquidity pair on the exchange and as they get LP tokens, entrust those to the DeHive Impulse smart contract. That’s all. As soon as users enable automatic compounding in the smart contract, the platform will do everything on its own, creating a compound interest for your higher profit.

What’s important is that DeHive Impulse does not have any real access to users’ funds, which enables higher security of the instrument. Your funds are stored on the exchange of your choice where you created an LP pair, while our tool automatically adds new tokens to the initial investment.


DeHive Impulse is another instrument that will facilitate trading, help users diversify and accumulate their crypto portfolio. It is based on the principle of automatic compound interest and works by adding your LP interest to the initial investment, thus enabling interest on interest and boosting your profit.

Are you excited to try DeHive Impulse out?

Then stay tuned and wait for the launch announcement! In order to catch it on time, follow🐝 DeHive official media channels:

Twitter| LinkedIn | Medium | Telegram News | Telegram Chat | YouTube



Team DeHive

An experienced team of blockchain enthusiasts behind the growth and development of DeHive DeFi protocol