in cases where Yield Farm tokens differed from the pool tokens， LPs had to manually claim their rewards on a per position basis which would then be reinvested into the pool. This meant incurring a gas cost for each claim and add liquidity transaction which could significantly cut into a LPs profit depending on their liquidity size. Moreover， from the Yield Aggregator according to their needs and timing. ， in most AMMs and Yield Farms， LPs must first deposit liquidity into an underlying liquidity pool to receive a LP token. The LP token represents the LPs share of the liquidity pool and enables the LP token holder to manage the position. Using the LP token， LPs can then delegate their liquidity share to the Yield Aggregator contract. The contract defines the yield strategy and manages the LPs liquidity and auto-compounds rewards for the LP. Of note， Yield Aggregators (a.k.a. Yield Vaults) automate the compounding of LP rewards to maximize potential yield while socializing the costs of interacting with DEX smart contracts. Yield Aggregators increases the potential yield generated from liquidity pool trading fees and Yield Farms by auto-compounding the accrued rewards on a periodic basis. This ensures more optimal returns via greater capital efficiency while minimizing the manual overhead and gas costs required for liquidity management. Prior to the creation of Yield Aggregators， Yield Aggregators are able to handle multiple positions that are created on the underlying liquidity pool. This means that multiple LPs could stake their positions in the Yield Aggregator contract whereby operational costs could be socialized. Users are also able to withdraw their assets， along with their accrued yield。

an additional swap was required before the value of the farming rewards could be reinvested. Critically， LP rewards usually laid dormant (i.e. not actively generating yield) until it was claimed and reinvested. Through automating the rewards claiming process， Yield Aggregators generated the following benefits: Increased capital efficiency and yields Reduced exposure to reward tokens as hold time was significantly slashed Reduced liquidity management transaction fees How It Works To qualify for a Yield Aggregator，。

郑重声明：本文版权归原作者所有，转载文章仅为传播更多信息之目的，如作者信息标记有误，请第一时间联系我们修改或删除，多谢。