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Farming on Libre Chain
Anyone can provide liquidity to the Libre AMM. As an incentive, they will be able to earn LIBRE rewards by staking their LP tokens. For example, the PUSDT / PBTC pool will accrue farming rewards equal to 1/4 of whatever validators earn per day.
Farming APYs will depend on the number of participants farming each pool and the share of staked LP tokens that each account has staked.
Farming rewards are emitted on every block that is produced. On Libre, a block is currently produced every 0.5 seconds which means there are 2 blocks per second, then we can calculate the rewards per day using this:
total_libre_rewarded = reward_per_block * 2 blocks * 60 sec * 60 min * 24 hours
The reward per block is set in the reward.libre::global table. As of April 12, 2023 - this is set to 1 LIBRE / block. So the daily emission can be calculated below:
total_libre_rewarded = 1.0000 LIBRE * 2 * 60 * 60 * 24 = 172800.0000 LIBRE
This total reward is divided by the number of "allowed_pools" set in the reward.libre::global table.
total_libre_per_pool = total_libre_rewarded / allowed_pools
Currently, this is 2 pools - BTCUSD and BTCLIB, so we can calculate the total reward per pool as follows:
172800.0000 / 2 = 86400.0000 LIBRE
This amount is paid pro-rata daily to each pool. The value of your percentage of the pool as a ratio to the value of the reward is how the APY is calculated.