Yield Farming Tutorial
Learn how to participate in yield farming programs using the Saros SDK with this comprehensive guide.
This tutorial will guide you through the process of participating in yield farming programs using the Saros SDK. Yield farming allows you to earn additional tokens as rewards for staking your LP tokens in farming pools.
1. Prerequisites
Before starting this tutorial, ensure you have the following:
- Node.js 16+ and npm/yarn installed
- Basic knowledge of TypeScript/JavaScript
- A Solana wallet with some SOL for transaction fees
- LP tokens to farm (obtained by providing liquidity to pools)
- Understanding of staking and farming concepts (recommended)
// Install the required packages
npm install @saros-finance/sdk @solana/web3.js
// Import the necessary modules
import sarosSdk, { genConnectionSolana } from '@saros-finance/sdk';
import { PublicKey } from '@solana/web3.js';
import BN from 'bn.js';
// Extract the services we need
const { SarosFarmService } = sarosSdk;2. Set up Connection
First, we need to establish a connection to the Solana network and configure our wallet.
// Generate a connection to the Solana network
const connection = genConnectionSolana();
// Define your wallet address (in a real app, this would come from a connected wallet)
const accountSol = 'YOUR_WALLET_PUBLIC_KEY';
// Define the payer account object
const payerAccount = { publicKey: new PublicKey(accountSol) };3. Configure Farm
Set up the farm parameters for farming operations. You'll need to know the farm address and reward information.
// Configure the farm parameters
const SAROS_FARM_ADDRESS = new PublicKey('SFarmWM5wLFNEw1q5ofqL7CrwBMwdcqQgK6oQuoBGZJ');
const farmParam = {
lpAddress: 'HVUeNVH93PAFwJ67ENJwPWFU9cWcM57HEAmkFLFTcZkj',
poolAddress: 'FW9hgAiUsFYpqjHaGCGw4nAvejz4tAp9qU7kFpYr1fQZ',
poolLpAddress: '2wUvdZA8ZsY714Y5wUL9fkFmupJGGwzui2N74zqJWgty',
rewards: [
{
address: 'C98A4nkJXhpVZNAZdHUA95RpTF3T4whtQubL3YobiUX9',
poolRewardAddress: 'AC3FyChJwuU7EY9h4BqzjcN8CtGD7YRrAbeRdjcqe1AW',
rewardPerBlock: 6600000,
rewardTokenAccount: 'F6aHSR3ChwCXD67wrX2ZBHMkmmU9Gfm9QQmiTBrKvsmJ',
id: 'coin98'
},
],
token0: 'C98A4nkJXhpVZNAZdHUA95RpTF3T4whtQubL3YobiUX9',
token1: 'EPjFWdd5AufqSSqeM2qN1zzybapC8G4wEGGkZwyTDt1v',
token0Id: 'coin98',
token1Id: 'usd-coin'
};4. List Available Farms
Retrieve a list of available farms to see what farming opportunities are available.
// Get a list of available farms
try {
const response = await SarosFarmService.getListPool({page: 1, size: 10});
console.log('Available Farms:', response);
return response;
} catch(err) {
console.error('Error fetching farms:', err);
return [];
}5. Start Farming
Stake your LP tokens in a farm to begin earning rewards.
// Stake LP tokens in a farm to begin farming
const farmAmount = new BN(100 * 1e6); // 100 tokens (6 decimals)
const hash = await SarosFarmService.stakePool(
connection,
payerAccount,
new PublicKey(farmParam.poolAddress),
farmAmount,
SAROS_FARM_ADDRESS,
farmParam.rewards,
new PublicKey(farmParam.lpAddress)
);
console.log(`Farming started! Transaction hash: ${hash}`);SarosFarmService.stakePool to stake tokens in the farm.6. Unstake Tokens
Unstake your LP tokens from a farm when you want to stop earning rewards.
// Unstake LP tokens from a farm
const unStakeAmount = new BN(50 * 1e6); // 50 tokens (6 decimals)
const hash = await SarosFarmService.unStakePool(
connection,
payerAccount,
new PublicKey(farmParam.poolAddress),
new PublicKey(farmParam.lpAddress),
unStakeAmount,
SAROS_FARM_ADDRESS,
farmParam.rewards,
false // Set to true if want to unstake full balance
);
console.log(`Tokens unstaked! Transaction hash: ${hash}`);SarosFarmService.unStakePool to unstake tokens from the farm.7. Claim Rewards
Claim the rewards you've earned from farming your LP tokens.
// Claim rewards from a farm
const poolRewardAddress = farmParam.rewards[0].poolRewardAddress;
const mintAddress = farmParam.rewards[0].address;
const hash = await SarosFarmService.claimReward(
connection,
payerAccount,
new PublicKey(poolRewardAddress),
new PublicKey(SAROS_FARM_ADDRESS),
new PublicKey(mintAddress)
);
console.log(`Rewards claimed! Transaction hash: ${hash}`);SarosFarmService.claimReward to claim your rewards.APY (Annual Percentage Yield)
The annual rate of return you can expect from farming, taking into account compounding.
Reward Tokens
Additional tokens distributed to farmers as incentives for providing liquidity.
Lock-up Periods
Some farms may have lock-up periods during which you cannot unstake your tokens.
Impermanent Loss
The potential loss of value when providing liquidity compared to holding tokens, which also affects farming.