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What farming is

Farming programmes pay additional rewards to liquidity providers of selected pools — the mechanism through which liquidity incentives reach LPs, whether funded by the protocol or by external projects incentivizing liquidity for their tokens. When the Earn layer ships, governance votes will decide which pools receive protocol-funded programmes.

Non-custodial by design

The defining property: a farming programme never takes your position NFT. You enroll a position; it stays in your wallet, you keep collecting your trading fees, and you can withdraw liquidity at any time. Traditional staking-based farms require depositing the position into the farm contract — which means trusting that contract with the principal. Here the farm only ever holds the rewards, never the liquidity.

How rewards track your position

Rewards are proportional to liquidity that is actually in range — a position parked far from the market price provides no depth and earns no rewards. The farming system follows the pool’s price through the farming proxy module, so as the price moves across positions, reward accrual shifts with it in real time. If the farming system itself ever breaks, the proxy drops it rather than letting it interfere with the pool: trading and withdrawals never depend on farming working.

Lifecycle

1

A programme is created

A reward token, an amount, a duration, and a target pool.
2

LPs enroll

Enroll your position in the programme. The NFT stays yours.
3

Rewards accrue

While your liquidity is in range, your share of the programme’s rewards accumulates.
4

Claim

Collect accrued rewards whenever you like; unenroll or withdraw liquidity at any time.