Bakery Bunny Finance — DeFi Yeild Aggregator

3 min readJun 10, 2021

Introduction

Yield aggregators have a significant role to play in the yield farming economy by utilizing various DeFi protocols and tactics to optimize user profit. Variable or fixed ROIs are generally necessary for the yielding process to be locked or deposited.

Bakery Bunny is a new DeFi yield aggregator used for BakerySwap, which is rapidly growing. The BakeryBunny protocol enables crypto farmers to make use of their profit-seeking tendencies to optimize BSC yield compounding technology. Bakery Bunny seeks to develop a platform that compounds yields automatically for all users, small and large. The purpose of BakeBunny is to improve DeFi in the BSC network and to ensure that users are provided with a variety of strategies to maximize profits and minimize risks.

BakeBunny Farms

In order to automatically compound and reinvest the returns for individuals, Bakery Bunny farm has been established for people through smart contracts.

It is difficult to make a compound on BakerySwap to know how frequently and when to compound and reinvest your income. All of that is done by BakeBunny for you and save gas charges.

For users of BakeBunny LP Farms, various risk tolerances are taken. An increase in APY generally means that the underlying token price is more volatile. BUSD-BNB, for instance, has an APY substantially lower than BAKE-BNB, because BUSD is a stable coin that is attached to the dollar without volatility.

BakeryBunny Fee Structure

The exchange rate is an analysis based on the exchange rate paid by liquidity service providers when swaps are paired. These benefits go to the LP itself, which increases the value, resulting in an increase in your percentage. The percentages shown are collected from the BakerySwap API. BakerySwap yields are automatically compounded to the BakeryBunny platform.

Withdrawal Fee

For just a withdrawal within 48 hours of deposit, BakerBunny have established a 0.4% withdrawal fee from their farms. BakeryBunny structured the charge to keep the ecosystem running well and to prevent possible use by people acting in bad faith.

Performance Fee

A 30 percent performance fee is paid to reward BakeBunny stakeholders when you select to claim profits from a pool. In return, BakeBunny tokens awarded to all pools. 20 BakeBunny are granted for every 1 BNB earned in fees.

Risks When Farming in BakeryBunny

A reduction in the value of the funds deposited, be it in BNB, BAKE and more, would lead to the blockchain risk.
For example, if you deposit LINK at 20$ and cancel it, it might also amount to 15$ when you withdraw and that involves an unusual risk.

The APY is compounded (exponential growth), not linearly calculable (i.e. APY/365). The longer you keep your tokens in the farms, the greater the exponential growth of your assets.