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How to Yield Farm on SushiSwap

“Yield Farming” is a decentralized finance (DeFi) tool that works as a crypto savings account, allowing you to earn interest for simply holding and staking tokens — like YGG. It is also a way for DeFi platforms, like SushiSwap, to encourage users to provide the “liquidity” required for a decentralized exchange to be able to facilitate swaps between tokens.

According to SushiSwap: liquidity pools are places to pool tokens so that users can use them to make trades in a decentralized way. These pools are created by users and decentralized apps (or Dapps, for short) who want to profit from their usage. To pool liquidity, the user supplies two tokens in equal amounts: the primary token (in this case, YGG token) and the base token (usually ETH or a stablecoin).

In this case, SushiSwap will offer its native SUSHI tokens as an incentive to users who provide both YGG tokens and ETH to act as liquidity for the market. SushiSwap’s “2x Rewards Farm” is a bonus scheme that allows users to earn rewards in SUSHI and YGG tokens for every second that they deposit and keep the required cryptocurrencies on the SushiSwap platform.

There are some risks associated with DeFi yield farming so please do your research. Here is the official guide from SushiSwap and an excellent guide from Coindesk.

Watch the video above or see below for a step-by-step guide on how to add liquidity to SushiSwap so you can start earning SUSHI and YGG rewards from the SushiSwap 2x Rewards Farm.

Keep in mind that ETH gas fees are needed for interacting with the SushiSwap platform, so make sure you have extra ETH for gas fees.

There are four steps to successfully yield farm via SushiSwap’s 2x Rewards Farm (scroll down below to find a more detailed guide on how to perform each of these four steps):

  1. Provide liquidity to the YGG/ETH liquidity pool which will give you Sushi Liquidity Pool (SLP)* tokens.
  2. Stake acquired SLP tokens to the 2x Rewards Farm for YGG/Wrapped ETH (WETH) to earn rewards in SUSHI and YGG tokens.
  3. Harvest to claim your rewards.
  4. Unstake your YGG and ETH from the liquidity pool to stop yield farming and claim back your staked tokens.

A special note to all the Axie players in the YGG community: SLP (Sushi Liquidity Pool) tokens on SushiSwap are not to be confused with SLP (Smooth Love Potion) tokens on Axie Infinity.

Watch this walkthrough video for instructions or read the step-by-step guide below.

How to Provide Liquidity in the YGG/ETH pool:

  1. Go to app.sushi.com and connect via MetaMask.

2. On the SushiSwap Menu, click on Pool and provide liquidity by selecting YGG and ETH pair. You can select your budget by entering a value for either token. SushiSwap calculates the corresponding amount of ETH that also needs to be added to the pool. In the example below, we are adding 52.91 YGG tokens which is equivalent to 0.049 ETH to the YGG/ETH liquidity pool. Confirm the transaction once a prompt from MetaMask appears.

Once the approval is complete, you can then “Confirm Supply” to the pool. Check the details before you confirm.

3. In exchange for adding ETH and YGG tokens to the pool, you will receive YGG/ETH pool tokens to prove you own a part of the pool. These are known as Sushi Liquidity Pool Tokens (SLP) tokens.

As an example, we will be receiving 1.51347 YGG/ETH pool tokens.

How to Stake in the YGG/WETH Farm:

  1. Once you have your SLP tokens, head to the Farm page, select 2x Rewards Farm in the left hand menu, and then click on the YGG/WETH Farm. Your SLP token wallet balance will be displayed above the “Stake” field. Select MAX to stake all your available SLP tokens.

2. If this is your first time staking, you will need to approve SushiSwap to interact with your SLP tokens before you can finalize the transaction. Once that is done, click “Confirm” via MetaMask.

3. You should be able to see the total of your SLP tokens staked on the right-hand side. If you check below you will see you are accruing both SUSHI and YGG tokens continually while you stake your tokens.

4. You may leave your staked SLP tokens in the 2x Rewards Farm and earn rewards continually. As detailed in this article, a maximum of 182.7 SUSHI and 5,556 YGG tokens will be distributed proportionally among each staker per day, with the pool running for 90 days starting July 31, 2021.

How to Harvest Rewards:

  1. Click “Harvest” to claim the current rewards in the 2x Rewards Farm page, then confirm the transaction via MetaMask. You can skip this step if you plan to remove all your tokens, as rewards will be automatically harvested when you “Unstake” (which will also save on gas fees).

How To Unstake (Stop) Yield Farming:

  1. Now to unstake your YGG/WETH SLP tokens, click MAX in the field above the “Unstake” button. Click “Unstake” and confirm the transaction via MetaMask.

2. You can then check that the YGG/WETH Farm now has 0 SLP staked tokens. Your tokens will be shown in your wallet balance on the left.

3. Now, you need to remove your YGG and ETH tokens from the liquidity pool. Click Pools in the top menu. You will see any open liquidity positions that you currently have on SushiSwap. Click on the YGG/ETH liquidity pool to see your pool token balance.

4. Click “Remove.” Remove the intended amount of SLP tokens (up to 100%). Check the amount of YGG and ETH that will be returned and please note that this may vary against the amount you originally deposited.

Click “Remove”
Once you click “Remove” the page above will appear. Indicate the amount in percentage to be removed.

5. Click “Confirm Withdrawal.” Confirm via SushiSwap and then confirm the transaction via MetaMask.

6. Once finalized, you can check your MetaMask account and see the ETH and YGG tokens back in your wallet.

Once all of these steps have been completed, you have successfully yield farmed and earned 2x rewards with YGG on SushiSwap. Congratulations!

For more information on how to buy YGG tokens, please click here.

Join the YGG Discord or follow us on Twitter for future updates.

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A play-to-earn gaming guild, seeking yield around the Metaverse.

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Yield Guild Games

Yield Guild Games

A play-to-earn gaming guild, seeking yield around the Metaverse.

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