Auto Compounder App Guide (DRAFT)
Last updated
Last updated
NOTE: The Auto Compounder application is not currently in general release. This documentation is beta/draft and subject to change. Once the application goes live, this warning message will be removed.
The KlimaDAO Auto Compounder manages liquidity pool tokens created on Aerodrome and optimizes them for compound interest effects. This can improve the yield performance of your position over time compared to manual compounding.
Additionally, 1% of your yield will be used to burn existing KLIMA tokens and retire carbon credits owned by KlimaDAO. By providing liquidity for the KlimaDAO ecosystem through the Auto Compounder, you grow your position in a more convenient way, reduce the amount of KLIMA tokens in circulation, and compensate for your personal or organizational carbon footprint automatically.
Since participating in liquidity pools can be challenging, this guide will provide step-by-step instructions on how to provide liquidity for the KlimaDAO ecosystem through the Auto Compounder app. A general overview of what liquidity pool tokens are can be found here.
The KlimaDAO Auto Compounder is currently only operating on the Base blockchain. Therefore, you will need KLIMA tokens on Base as well as a different token to pair KLIMA with, e.g. WETH, USDC, or other supported tokens. An overview of all supported liquidity pairs can be found at https://base.klimadao.finance/.
You will also need a small amount of ETH on Base in your wallet to pay for transactions.
This guide uses the KLIMA/WETH pool as an example, but the same steps apply for all other token combinations as well.
Visit https://base.klimadao.finance/ and click the CONNECT button in the top right corner. Choose your wallet and confirm that you want to connect to the app.
Click the Stake + button for the pool you want to deposit your tokens into.
Once you click Stake +, you should see the Auto Compounder interface as seen on the screenshot below. Before you can deposit your tokens into the pool, you need to create a liquidity pool pair on Aerodrome. To do this, click the Deposit Liquidity button.
You are now on Aerodrome’s website. As seen below, add the amount of WETH and KLIMA you want to stake. On the right side, click both Allow KLIMA and Allow WETH, if necessary. Sign both transactions in your wallet.
Once the transactions are finished, click the Deposit button and sign the transaction in your wallet. This will create your liquidity pool tokens.
You now notice the Stake Your Deposit button on Aerodrome’s website. DO NOT CLICK IT. Instead, return to the Klima Auto Compounder.
For the pool you selected earlier, you should now see a balance in your wallet like on the screenshot below.
Click the MAX button in the Amount to Stake section (or enter a value not greater than your Balance), then click the green STAKE button below.
A new window will pop up. Click APPROVE first, sign the transaction, and wait for this process to finish. Then click STAKE again and sign this transaction as well.
If everything works as expected, you will see a Success! message.
Done! If you click YOUR POSITIONS now, you will see your staked tokens and their US-Dollar nominated value.
