Strategy

The vault strategy manages the deposited VLP by keeping it always staked in the VELA Protocol TokenFarm contract. The VLP accumulates esVELA rewards, which are as well staked in TokenFarm for even more esVELA.

Pounder Finance will run an automated keeper bot that compounds efficiently—compounding harvests pending esVELA rewards from VLP and esVELA staking in the TokenFarm contract. The harvested esVELA is then re-staked in esVELA TokenFarm pool. Compounds are also triggered on every user action, saving on gas costs.

When a user wants to claim their esVELA rewards, the Vault unstakes the amount from TokenFarm and sends it to the user requesting the claim. Pounder Finance Treasury takes a 1% service fee based on harvested esVELA amount.