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How Yield Works for iAsset Pools

All iAsset pool APYs regardless of pool composition follow the same core principle:

Yield is weight-adjusted based on real-time liquidity distribution.

Atmos :

  • Reads official APY values directly from POEL contracts
  • Separates Base iAsset APY and Stimulus APY
  • Weight-adjusts them using live pool balances
  • Distributes rewards proportionally
  • Does not penalize or skim emissions

Pool APY Formula

Let a pool contain nn assets. For each asset ii:

  • TiT_i = TVL of asset ii
  • IiI_i = Official iAsset APY from POEL (0 if not an iAsset)
  • SiS_i = Stimulus APY (0 if not applicable)

Let:

T=i=1nTiT = \sum_{i=1}^{n} T_i

Let:

F=DEX Base APY (trading fee yield)F = \text{DEX Base APY (trading fee yield)}

Final Pool APY Formula

The total pool APY is:

Total Pool APY=F+i=1nTi(Ii+Si)i=1nTi\boxed{\text{Total Pool APY} = F + \frac{\sum_{i=1}^{n} T_i (I_i + S_i)}{\sum_{i=1}^{n} T_i}}

This single expression covers every pool composition by treating non-iAssets as having Ii=0,Si=0I_i = 0, S_i = 0.


What This Means

  • DEX Base APY FF applies to all liquidity.
  • Only iAssets have Ii>0I_i > 0.
  • Only incentivized iAssets have Si>0S_i > 0.
  • Normal assets have Ii=0,Si=0I_i = 0,\, S_i = 0.
  • Everything is liquidity-weighted by Ti/TT_i/T.

Case 1 : One iAsset + One Normal Asset

Example: iUSDC / SUPRA

Here:

  • iUSDC: IUSDC>0,  SUSDC>0I_{\text{USDC}} > 0,\; S_{\text{USDC}} > 0
  • SUPRA: ISUPRA=0,  SSUPRA=0I_{\text{SUPRA}} = 0,\; S_{\text{SUPRA}} = 0

Formula simplifies to:

Total APY=F+TUSDC(IUSDC+SUSDC)TUSDC+TSUPRA\text{Total APY} = F + \frac{T_{\text{USDC}}(I_{\text{USDC}} + S_{\text{USDC}})}{T_{\text{USDC}} + T_{\text{SUPRA}}}

Example numbers

  • iUSDC weight = 60%, so TUSDCT=0.60\frac{T_{\text{USDC}}}{T} = 0.60
  • iUSDC APY IUSDC=5%I_{\text{USDC}} = 5\%
  • Stimulus APY SUSDC=2%S_{\text{USDC}} = 2\%

Weighted yield contribution from iUSDC:

0.60×(5%+2%)=0.60×7%=4.2%0.60 \times (5\% + 2\%) = 0.60 \times 7\% = 4.2\%

Total Pool APY:

Total APY=F+4.2%\text{Total APY} = F + 4.2\%

Case 2 : All Assets Are iAssets

Example: iUSDC / iUSDT

Both assets contribute:

Total APY=F+TUSDC(IUSDC+SUSDC)+TUSDT(IUSDT+SUSDT)TUSDC+TUSDT\text{Total APY} = F + \frac{T_{\text{USDC}}(I_{\text{USDC}} + S_{\text{USDC}}) + T_{\text{USDT}}(I_{\text{USDT}} + S_{\text{USDT}})}{T_{\text{USDC}} + T_{\text{USDT}}}

This is the liquidity-weighted average of the per-asset (iAsset + stimulus) yields plus the DEX base.


How Boosted APY Is Derived (Implementation)

  1. Atmos reads the official iAsset APY directly from POEL contracts.
  2. It reads stimulus-adjusted estimated APY from POEL and computes stimulus as the difference (adjusted APY minus base iAsset APY).
  3. Atmos fetches real-time pool balances TiT_i.
  4. It computes the liquidity-weighted sum Ti(Ii+Si)\sum T_i (I_i + S_i) and divides by total TVL TT.
  5. Adds the DEX base APY FF.

Users can verify current asset weights inside:

  • Pool Details

AMM Liquidity Pools


How Stimulus APY Is Derived

  1. Atmos reads the stimulus-adjusted estimated APY from POEL.
  2. Subtracts the base iAsset APY:
Si=Adjusted POEL APYiIiS_i = \text{Adjusted POEL APY}_i - I_i
  1. Treat negative or missing values as Si=0S_i = 0 where appropriate.
  2. Weight-adjust using real-time balances.

Summary

Every pool APY regardless of composition reduces to:

DEX Fees+Liquidity-Weighted (iAsset Yield+Stimulus)\mathbf{DEX\ Fees} + \mathbf{Liquidity\text{-}Weighted\ (iAsset\ Yield + Stimulus)}

Important Notes

  • Atmos receives core APR directly from POEL and only performs liquidity weight adjustment , it does not modify, skim, or penalize any emissions.
  • All POEL rewards are distributed proportionally based on real-time pool balances.
  • APY values are dynamic and change continuously with market conditions and live liquidity pool balances.
  • Displayed APYs are estimates based on current on-chain data and are not guaranteed returns.
  • Past yield performance is not indicative of future results. DeFi yields are inherently variable and subject to market risk.
  • This is not financial advice (NFA). Always do your own research before providing liquidity.

For a deeper understanding of how iAsset APY is calculated at the protocol level, refer to the Supra POEL Workflow documentation.