Pickle Finance
Pickle Finance is a yield aggregator, auto-compounding users LP positions saving them time and money. The governance token PICKLE can be staked as DILL, to earn a share of the protocols revenues and boost users farm APY. Pickle Finance was launched on the Ethereum MainNet network.
How Does it Work
- Pickle Finance has Jars, and Farms
- Jars compound your returns from other protocols for you.
- Farms provide you extra rewards for staking your jar token
Pickle Jars
Jars are the Pickle equivalent of yearn.finance’s vaults. A jar receives a specific asset (usually an LP token), such as sLP ALCX/ETH (Liquidity provider token for the ALCX/ETH pair on SushiSwap) and utilizes a strategy developed by the Pickle Finance team to earn yield on that asset. Your asset will auto-compound to earn more of itself, meaning your holdings of that asset will only increase. However, jars don’t prevent your asset from losing value relative to USD.
Pickle Farms
Farms are the “next step” after putting an asset into a jar. When you deposit an asset into a jar, such as sLP ALCX/ETH, you will receive a number of pTokens (in this example, pSLP ALCX/ETH) that represent your share of the tokens in the Jar. These pTokens can then be staked in the appropriate farm to earn additional PICKLE rewards on top of your existing rewards. Your PICKLE rewards can be boosted by locking existing PICKLE tokens for DILL for up to four years
The Pickle DAO
Pickle is governed by a DAO (Decentralized Autonomous Organization). Holders of “DILL”, a representation of a PICKLE token that has been time-locked on the platform for a set duration, receive voting rights to make changes to the protocol, emissions, and more. No single person is in charge. We’re all in this together.
Fees
- Pickle takes 20% of the rewards token being compounded as a fee, in most cases.
- Some Jars have custom fee schedules, with a percentage of AUM taken throughout a year.
- For Ethereum, Arbitrum and Polygon Jars, Pickle Finance charges a 0.2 performance fee from each harvest. As for OEC and Moonriver Jars, Pickle Finance charges a 0.1 performance fee.