Farm on Velodrome

WHAT IT DOES

This tool enables you to farm LP (liquidity provider) tokens on Velodrome DEX, the leading decentralized exchange on Optimism Network. It reads your LP token balance on Optimism, the farming contract details, and the current gas price to provide an accurate cost estimate before you commit. The tool then checks your allowance for the Velodrome farming contract, handles approval automatically if needed, and allows you to stake LP tokens to earn VELO rewards, harvest accumulated rewards, or withdraw your staked position.

Velodrome DEX is the central liquidity hub on Optimism, featuring a veVELO governance model and multiple farming pools that reward liquidity providers with VELO tokens. The tool integrates with Velodrome's farming contracts to provide a seamless farming experience, supporting any LP token that has an active farming pool on Velodrome. You can stake your LP tokens, watch your rewards grow, harvest them when desired, and withdraw your stake at any time.

HOW TO USE

Connect your wallet using the "connect" button. Ensure you are connected to Optimism Network (chain ID 10) — the tool will display your current chain ID and LP token balance once you enter the LP token address. Enter the LP token address and the farming contract address for the pool you wish to use. The tool will display your current LP token balance, staked balance, and pending VELO rewards.

Enter the amount of LP tokens you wish to stake, then click "stake LP tokens" to deposit them into the farming contract. The tool will automatically approve the token spending if needed, then submit the stake transaction. Use the "harvest rewards" button to claim your accumulated VELO rewards at any time. The "withdraw" button allows you to unstake your entire LP position, returning the LP tokens to your wallet.

TECHNICAL MECHANISM — VELODROME FARMING

The tool interacts with Velodrome farming contracts that implement the standard MasterChef interface. When you stake, the tool calls the stake(uint256 amount) function on the farm contract. Before staking, it checks your allowance for the farm contract using the ERC-20 allowance() function. If the allowance is insufficient, the tool submits an approve() transaction to the LP token contract, granting the farm permission to spend the specified amount.

Once staked, your LP tokens are locked in the contract and you begin earning VELO rewards at a rate determined by the pool's emission rate and your share of the total staked LP. Rewards accrue in real-time and can be harvested using the getReward() function. The earned(address) function reads your accumulated rewards without requiring a transaction. The withdrawal process uses the withdraw(uint256 amount) function to return your staked LP tokens. The tool displays your staked balance, reward balance, and provides gas estimates for each action. All transactions include a deadline to prevent execution if they remain pending too long.

WHAT IT CANNOT SEE

This tool cannot estimate exact gas costs without a live RPC call, and gas prices on Optimism may change between quoting and execution. It cannot guarantee yield rates or APR, which fluctuate based on protocol activity, total staked value, and VELO emission rates. The tool cannot verify the contract addresses are correct beyond what you provide — if you enter an incorrect address, the transaction could fail or be sent to the wrong contract. It cannot cancel a transaction once submitted, and if a transaction fails due to gas issues or contract errors, you may still pay gas fees. The tool cannot handle farming on non-Optimism chains or support LP tokens not created through Velodrome. It also cannot automatically find the best farm for your LP tokens — you must specify the correct farming contract address.

PLEASE NOTE — OPTIMISM NETWORK ONLY

This tool works exclusively on Optimism Network (chain ID 10) and Optimism Goerli (chain ID 420). You must be connected to Optimism Network to use this tool. It does not support other networks such as Ethereum Mainnet, Polygon, or Arbitrum. The tool farms LP tokens using Velodrome DEX — always verify that the LP token and farm contract addresses are correct for Optimism Network. Using addresses from other networks will result in transaction failure. VELO rewards are distributed in real-time but require manual harvesting. Unstaked LP tokens stop earning rewards immediately. Always check the pool's APR and your staked position before withdrawing.