Resuming our comprehensive guide on the AraFi ecosystem, this follow-up article is set to explore the practical aspects of the platform in detail. We will focus on the procedures involved in Wrapper Creation, Staking, Farming, HLP Farming, and Governance within the AraFi ecosystem. This continuation is designed to equip you with a robust understanding of these operational mechanics, enabling you to engage more effectively and take full advantage of what the ecosystem has to offer. Let’s embark on this deeper dive into the intricacies of AraFi.
Wrapper Flow
Let’s shed some light on the ecosystem’s range of governance aggregation and liquidity-focused products. The main method for governance “blackholing” is through the minting of aAssets. Users can deposit tokens into AraFi, which locks these assets forever as veTokens. Ara returns a tokenized version of the assets as an aAsset.
Wrapper Creation
1. Visit the hermes exchange to acquire Hermes, and Maia tokens.
2. After acquiring the Hermes and Maia tokens navigate to https://arafi.app/convert to wrap them and receive our aAssets.
For Hermes and Maia
a. Deposit a specified amount of each token and receive an equivalent amount of the corresponding wrapper tokens.
b. Authorize your token(s) (MAIA/HERMES) for converting, make sure to input the amount of token(s) you want to approve before clicking on the Approve button.
c. Proceed with wrapping your Tokens by inputting the amount of token(s) you want to wrap and click on the Wrap button.
For veHermes
Important: For the conversion of veHermes to aHermes, please be aware that the current exchange rate is set at 70%. This means that for each veHermes you wrap, you will receive 0.7 aHermes in return. This exchange rate will dynamically adjust in response to changes in the aHermes supply, potentially affecting future conversions.
Important: Ensure you reset your veNFT vote and unstake all your LP’s linked to it prior to wrapping. These steps are crucial for a successful wrapping.
d. Navigate to the ‘Wrap veNFT’ section located within the aHermes dashboard. From the dropdown menu, select the veNFT you wish to convert into aHermes. Confirm your selection and click on the ‘Wrap’ button to complete the process.
Once you have obtained your aAssets you’ll have two avenues to utilize them within our ecosystem, staking and Farming on Hermes.
Option 1 Staking
1. Authorize aAsset(s) for staking. Input the amount of aAsset(s) you want to stake before clicking on the Stake button. Do note that for aHUM, you do not have to carry out this step as your aHUM is automatically staked once you did the conversion from HUM to aHUM.
2. Proceed to stake your newly minted aAssets.
a. From the dropdown menu, select the correct veNFT and then click on the ‘Wrap’ button.
Important: Ensure you reset your veNFT vote prior to wrapping. This step is crucial for a successful wrap process.
3. Once adequate rewards have been accumulated, select the “Claim” buttons to harvest your Metis/Hermes/Ara rewards.
Option 2 Farming (available 2 weeks after aAsset launch)
Available pairs: aHermes/Hermes , aMaia/Maia
1. Upon acquiring AraFi’s aAssets, navigate to Hermes Trade if you plan to sell for LPing, or Hermes Liquidity if you already possess the other paired asset.
2. Specify the amount, approve expenditure, and then select “Supply.”
3. Proceed to Hermes Stake to deposit your newly made LP.
Closing Thoughts
Wrapping up our exploration of the AraFi ecosystem, we trust that you now possess a solid grasp of its operational mechanics. As your journey continues, remember that your active participation is fundamental to the ecosystem’s success. Always keep in mind that every transaction, every stake, and every decision contributes to the dynamic and promising future of AraFi. We look forward to sharing more insights and discussions in the forthcoming articles. Together, let’s navigate and shape the exciting landscape of decentralized finance.
