How to manage your (Crypto Farming) rewards (part 3)

Total profit formula

Total farming profit = IL (Impermant Loss) + farmed tokens

  • Then you stake your tokens

How much profit I’m making?

To track your liquidity + farming performance you should use tools like apy vision

  • Initial amount: 11363 MINT / 6.25 ETH
  • Current amount: 9006 MINT / 8.11 ETH
  • At current price it means an Impermanent Loss of $950 (from liquidity)
  • Farmed: 2K MINT (at current price 2K MINT * 1.6 = $3200)
  • Total profit = $3200 (from farming) - $950 = $2250

How to manage this on your coin tracker?

  • One will be a buy/sell order representing the current holding
  • One with the farming rewards (buy order with price = 0)
  • we register the IL like a sell order (if the IL is positive we do a buy order)
  • we register a buy order with farmed tokens with price = 0
  • Then your portfolio will reflect exactly your position

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Crypt Stylo

Crypt Stylo

White hat crypto trader / full stack developer