What Is Pickle Finance?

Pickle Finance is a multi-layered, multi-chain yield aggregator built on the Ethereum network. Yield aggregators are DeFi platforms that help yield farmers put funds in and optimize revenues by using various DeFi protocols and tactics for higher returns. Pickle Finance helps users earn high compounding profits on their savings when they don't have the time to compound them daily or the gas fee is too high. Pickle Finance has two important components, Pickle jars and Pickle farms:

Pickle Jars -Jars are Pickle's version of vaults. When a jar gets a specific asset (usually a liquidity provider token), it employs a Pickle Finance team-developed method to earn a yield on that item. The user's asset auto-compounds to earn more, thereby helping users' asset holdings grow.

Pickle Farms -After placing an object in a jar, farms are the next stage. When users add an asset, they receive several pTokens representing users' part of the tokens in the Jar. These pTokens are then staked in the right farm to receive more PICKLE prizes on top of the ones users already have. Users increase their PICKLE rewards by locking existing PICKLE tokens for DILL for four years.

Pickle is the native token of the platform. Users can earn PICKLE by participating in the farms. Farms are eligible to get new PICKLE token emissions to increase their fundings' APY (annual percentage yield).

The PICKLE token has limited utility in its raw (unlocked) state. PICKLE tokens change into DILL when time-locked by their user, reflecting a claim to a percentage of platform profits, voting rights, and increases in farm returns. DILL tokens provide users with governance rights.

History of Pickle Finance

In the summer of 2020, Pickle was introduced on the Ethereum Mainnet network. Pickle was restricted to farming other DeFi protocols and had to operate in areas where those protocols existed.