Leveraged Yield Farming

Leveraged Yield Farming (LYF) amplifies your returns by borrowing additional tokens to increase your liquidity position. This strategy combines lending (Aave v3) with liquidity provision (PancakeSwap v3).

How it works

Supply your chosen base token (e.g., BNB) to Aave v3 as collateral
Borrow a quote token (e.g., USDT) against your collateral
Provide liquidity with both tokens on PancakeSwap v3
Collect rewards — trading fees and farming rewards accumulate automatically
Rebalance — when the price moves out of range, the strategy repositions your liquidity
Monitor health factor — the strategy watches your Aave position to avoid liquidation

Setup steps

Step 1: Choose your base token

Select which token you want to leverage:

Token	Network
USDT	BNB Smart Chain
BNB	BNB Smart Chain
BTC	BNB Smart Chain
ETH	BNB Smart Chain

Minimum deposit: $100

Step 2: Choose your quote token

Select the token to pair with your base token for the liquidity pool. Available options depend on your base token choice.

Step 3: Choose your risk level

Risk level	Description
Low	Lower volatility with steadier performance
Medium	Balanced risk and reward
Mid-High	Higher volatility, higher potential swings
High	Highest volatility and risk

Higher risk means more aggressive borrowing and tighter liquidity ranges, which can lead to higher returns but also increases the chance of liquidation or impermanent loss.

What to know

Leveraged positions carry risk. If the price of your collateral drops significantly, your Aave position may be liquidated. The strategy monitors your health factor and attempts to rebalance, but extreme market movements can still cause losses.

The strategy automatically collects LP rewards from PancakeSwap's MasterChef
A portion of rewards is used to pay the automation fee
Your funds are held in a dedicated vault, separate from your main wallet