“How Many Layers of Yield Can One SUI Generate? A Compounding Strategy Starting with Haedal”
Idle funds in your wallet have limited potential if they’re just sitting there.
Starting with Haedal, a liquid staking protocol on Sui, the same SUI can be put to work across several different sources of yield.
The first layer is staking SUI with Haedal to receive haSUI, and simply accumulating staking rewards over time.
The second layer is depositing haSUI into an automated liquidity product like haeVault, or providing liquidity to a corresponding pool to earn additional trading fees.
The third layer is depositing the receipt tokens received for providing liquidity into Haedal Farms to participate in farming and earn an additional HAEDAL token reward.
Stacking all three layers means the same original SUI is put to work in three different ways, corresponding to staking, market making, and incentives.
The more layers you add, the more smart contract and pool price fluctuation risks you take on. It’s not just the yield that stacks up—the complexity does too.
Understanding which source of yield each layer corresponds to is more important than looking only at the final combined figure. Staking, market-making, and incentive yields have different characteristics, and their fluctuations occur at different times and for different reasons.
Idle funds in your wallet have limited potential if they’re just sitting there.
Starting with Haedal, a liquid staking protocol on Sui, the same SUI can be put to work across several different sources of yield.
The first layer is staking SUI with Haedal to receive haSUI, and simply accumulating staking rewards over time.
The second layer is depositing haSUI into an automated liquidity product like haeVault, or providing liquidity to a corresponding pool to earn additional trading fees.
The third layer is depositing the receipt tokens received for providing liquidity into Haedal Farms to participate in farming and earn an additional HAEDAL token reward.
Stacking all three layers means the same original SUI is put to work in three different ways, corresponding to staking, market making, and incentives.
The more layers you add, the more smart contract and pool price fluctuation risks you take on. It’s not just the yield that stacks up—the complexity does too.
Understanding which source of yield each layer corresponds to is more important than looking only at the final combined figure. Staking, market-making, and incentive yields have different characteristics, and their fluctuations occur at different times and for different reasons.