What Is Harvest Finance?
Harvest Finance is a yield aggregator that operates on multiple blockchains.
Background
An anonymous founder, Bread, released Harvest Finance in 2020.
How It Works
The platform allows users to deposit tokens into vaults, automatically generating yield using various strategies. These strategies include lending on Idle Finance and Compound and providing liquidity on Convex and Uniswap. Harvest Finance’s vaults claim and sell any tokens earned from these strategies for the native token deposited into the vault. This system socializes gas costs among all depositors and automatically rebalances across different methods.
FARM is Harvest Finance’s fee-sharing and governance token. It allows holders to propose and vote on changes to the protocol. Users can also deposit FARM tokens in an auto-compounding vault to earn performance fees from other vaults operated by Harvest Finance.
Key Takeaways
- Harvest Finance is a yield aggregator that operates on multiple blockchains.
- It allows users to deposit tokens into vaults, automatically generating yield using various strategies.
- The strategies include lending on Idle Finance and Compound and providing liquidity on Convex and Uniswap.
- FARM is Harvest Finance’s fee-sharing and governance token that allows holders to propose and vote on changes to the protocol.
- Users can deposit FARM tokens in an auto-compounding vault to earn performance fees from other vaults operated by Harvest Finance.
