🍃Savings hands on

Savings is suitable for users unwilling to bear any losses, it can continuously and steadily make money.

If you are willing to take on low risks and achieve better returns, it is recommend to use market neutral strategy in yield farming. It is very simple to operate. Suitable for users willing to bear short-term losses. In the first 2 weeks, due to the Uni V3 algorithm feature, short-term losses of 0.5% -5% will happen. However, it is high probability to earn more than savings in medium&long term . There is basically no liquidation risk for market neutral strategy.

Dummy tutorial:

🍃pageYield farms hands on

How to do savings

Deposit

Click the "Deposit" button, pop up need to be approved. There will be two pop ups if the saving pool provide both types of interests. Both pop ups need to be approved. Mole will auto help to process both the deposit and stake process.

There will be only one pop up if the saving pool provide one type of interest.

Withdraw

Click the "Withdraw" button.There will be two pop ups if the saving pool provide both types of interests. Mole will auto help users withdraw both deposit interests and staking interests simultaneously. It is very convenient.

If a savings pool contain only one type of deposit interest, there will be only one pop-up to approve.

Details of Savings

Mole offers two types of interests:

1) Deposit interest

When leveraged yield farming users borrow tokens from savings pool, they should pay borrowing interests to the savings pool. This is the source of deposit interest.

The interest is paid in the same kind token as deposit. E.g. When deposits in USDC, the deposit interest will be paid in USDC. The deposit interest will ultimately be sent to user when withdraw. Deposit interest is auto compounded.

2) Staking interest

Some savings pools provide staking interest, which comes from subsidies. The staking interest will be given the same token as the subsidy, regardless of whatever token the user deposit. E.g. currently both USDC and SUI pool have subsidies of SUI. Therefore, users deposit in either USDC or SUI pool, they will receive the SUI token as staking interest.

You can claim for staking interest is on the "Staking" page, users can choose to manually claim for it, or it will be auto claimed to user's wallet when user do deposit & withdraw operations.

What is mToken

When users deposit, they store the tokens in the Mole savings pool. Mole will issue mToken to users as a deposit voucher. E.g. if user deposit SUI, Mole will issue mSUI to the user as deposit voucher, proving user has deposited in Mole.

mToken ratio

mToken and Token are not 1:1, which can be seen in the pop-up window

This ratio is gradually increasing. For example, if a user saves 100 SUIs today, and according to today's ratio, 1 mSUI=1.0784 SUI, the user receives 92.73 mSUI. Therefore, if the ratio increases to 1 mSUI=1.1 SUI one month later, the user can receive 92.73 * 1.1=102 SUI when withdraw. That's how deposit interest are accumulated for users.

Staked and unStaked states

For savings pools that provide staking interest, users need to stake the mToken to obtain the staking interest.

For savings pools that do not provide staking interest, there is no need to stake.

When deposit in Mole, if it is a savings pool with staking interest, Mole will auto to stake the mToken. This is also the reason why pools contained staking interest need to be confirmed twice in pop-ups as mentioned earlier.

Similarly, when withdraw, if it is a pool contained staking interests, it needs to unStake first before withdrawing. Mole will also help users with this step. Pools contained staking interests require two pop-up confirmations, while pools without staking interests only need one pop-up confirmation.

Deposit timeliness

Mole does not set a time lock, usually users can deposit and withdraw on demand real time. But in fact, the deposited tokens may theoretically be borrowed by users of leveraged yield farming as leverage. If the tokens in savings pool are all borrowed, the deposited tokens can't be withdrawn temporarily until there is free tokens in the savings pool.

E.g. if there is 1 million in savings pool and 900,000 were borrowed, there is still 100,000 free tokens left. If the user wants to withdraw 50,000, they can withdraw it immediately. If the user wants to withdraw 200,000, they need to wait for leveraged yield farming to return the loan, or new tokens to deposit.

Of course, when the use rate of the savings pool is high, the deposit interest rate also increases correspondingly, to incentive the deposit of new tokens.

You can see the current status of free tokens on the savings page.