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How to Earn Yield

Earning yield on SushiSwap is connected to being a liquidity provider, but it is also different because you earn $SUSHI token rewards. Our yield farms are branded on Sushi as Onsen. You can take a look at the current Onsen pair options at https://app.sushi.com/farm. There are other yield-bearing instruments, but this tutorial will focus on the Onsen pairs.

When new pools are added to the Onsen, their yields are quite high and as more users enter the yield pairs, the APY balances out, as shown in the screenshot above.

Yield Farming & Onsen 101

Step 1. Head over to sushi.com and enter the app.

Step 2. Connect your wallet to SushiSwap (make sure you have some Ethereum to cover gas fees!)

Step 3. You need to add liquidity to the yield farming pair first. You can do so by following the steps in the How to Add & Remove Liquidity section or by supplying directly on the Onsen Menu page in the Farm tab.

Step 4. Select the farm or Onsen pair you wish to join and deposit your SLP (Sushi Liquidity Provider) tokens into the farm by entering the amount you wish to add or by clicking Max and click Deposit

Step 5. Approve the relevant fees and start growing your $SUSHI! Farming will happen immediately once the transaction completes.

On sushi.com, you can enter a Permanent Farm or an Onsen yield farm. Onsen pairs are temporary farms that are allocated bonus $SUSHI rewards through allocation points. Allocation points are allotted based on a number of quantitative and qualitative factors, such as sentiment and market capitalization. Usually, the higher the interest rate in relation to the total value of the farm means the higher the allocation points.

Please note that $SUSHI rewards no longer have any vesting or lockup period.

Since farming is related to liquidity providing, is it important to note that the same impermanent loss risks are still present.

Exiting Onsen 101

Once a temporary Onsen pair is no longer bearing yield, you will probably want to remove your position.

Step 1. Head over to sushi.com and enter the app.

Step 2. Connect your wallet to SushiSwap (make sure you have some Ethereum to cover gas fees!)

Step 3. Click the Farm tab and wait for My Farms to load with your current positions.

Step 4. Select the farm or Onsen pair you wish to no longer participate in and click the toggle under Staking to the minus sign (the percentages will turn pink if done correctly). Select the percentage you would like to remove (or select MAX for all of it) and then Confirm Withdraw

Step 5. Approve the transaction from your wallet and you’re all set!