Introduction
In this series I discuss different strategies on how to leverage the opportunities offered by The Animal Farm ecosystem. Each article in the series will cover a specific strategy in order to keep it as to the point and concise as possible.
We can distinguish four types of strategies
- Simple or Complex ones, and
- Aligned with the ultimate purpose of the platforms vision or deviating from it
Please refer to the following article for an introduction into this series, find out what the most important elements are to be able to develop a strategy and how these strategy types are defined.
https://medium.com/cryptozoa/the-animal-farm-lets-talk-strategies-26865f4df317
Assumptions
- You have clearly defined your personal investment goals
- You understand the vision and purpose of the platform
- You have reserved an investment capital amount in any kind of Crypto to put into The Animal Farm
Strategy description
Type: Simple
Platform purpose alignment: Aligned
Initial required crypto asset: $BUSD
Short description: This is the simplest strategy within this category of “Simple and Aligned with the purpose of the platform”.
This strategy uses the reserved Investment Capital to buy PIGS ($AFP) and stake those in the PigPen in order to earn $BUSD rewards. As a bonus, staked PIGS will accumulate additional PIGS at the same time. These additional tokens can be compounded into the PigPen stake which in turn will earn more $BUSD rewards.
From the webpage:
PigPen is the Animal Farm’s governance staking pool which allows AFP holders to secure a shared ownership of the Animal Farm platform. This includes BUSD & PIGS dividends generated from deposit/withdrawal fees from Farms & Pools, taxes applied to DOGS transactions, yield earned on lending and Piggy Bank fees. — PigPen page
Visualization of the strategy
Step-by-Step description
Lets go over the steps one by one:
- All of the Investment Capital will be used to buy the PIGS ($AFP) token
- The accrued PIGS ($AFP) tokens are deposited in the PigPen
- Now the staked PIGS ($AFP) start earning dividend in $BUSD as well as in PIGS
- When clicking the “Compound PIGS (Claim BUSD)” button, the PIGS will be compounded into the PigPen, hence, added to the total PigPen staked balance. While at the same time the accumulated $BUSD will be claimed into the connected crypto wallet.
- Step 3 and 4 can be repeated indefinitely
Execution of the strategy
Let’s have a look at the steps to take on the website.
1. Connect wallet
Click the “Connect Wallet” button on top of the screen in order to connect the crypto wallet which holds the reserved Investment Capital.
2. Buy PIGS ($AFP) tokens
Buy PIGS ($AFP) tokens on the “Swap” page which can be found in the top menu. In the upper field the Investment Capital in $BUSD can be entered, in the bottom field the corresponding amount of PIGS will be calculated.
3. Deposit PIGS in the PigPen
Deposit PIGS tokens in the PigPen which can be found in the top menu. In the input field the amount of PIGS tokens to deposit can be entered. Clicking the “Deposit” button, deposits the entered amount of PIGS into the PigPen. The staked PIGS will start earning BUSD and PIGS dividends immediately.
The amount of BUSD and PIGS which can be claimed will be displayed in the “Reward Center” box.
4. Compound PIGS and claim BUSD
At any given moment the accumulated BUSD and PIGS rewards can be compounded and claimed by clicking the “Compound PIGS (Claim BUSD)” button at the bottom of the box.
The “Staked Balance” amount will increase with the compounded PIGS. The BUSD amount will become available in the connected crypto wallet.
5. Wait and repeat
Whenever a significant amount of new BUSD and PIGS are accumulated this “Compound PIGS (Claim BUSD)” action, as described in step 4, can be repeated.
End of strategy
My referral
If you decide to invest in The Animal Farm yourself, after having done your own research, please consider using my referral link. It’s very much appreciated, thanks!
References
Website:
Wiki
Telegram channel The Animal Farm:
Telegram channel Forex Shark Calls:
