> For the complete documentation index, see [llms.txt](https://megabsc-finance.gitbook.io/megabsc/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://megabsc-finance.gitbook.io/megabsc/leveraged-yield-farming.md). # Leveraged Yield Farming ![](/files/-MhICdcEc2QnVBfyvuKX) Yield farming is a process in which users (or farmers) receive additional incentives (typically in the form of another token) for providing liquidity to a liquidity pool on a certain AMM protocol, such as PancakeSwap in this case. For instance, if you were to provide liquidity of 1 BNB and 250 BUSD (assuming 1 BNB = 250 BUSD) to a BNB-BUSD liquidity pool on PancakeSwap, then you will receive rewards in another token (e.g. 10 Token A) in addition to a share of trading fees that the protocol gains (e.g. 10% APY), which you would normally receive for being a liquidity provider on any AMM. Leveraged yield farming is a mechanism that allows farmers to lever up their yield farming position, meaning to borrow external liquidity and add to their liquidity to yield farm. As a result of having more liquidity to yield farm (e.g. borrow 2 more BNB, adding up to 3 BNB and 250 BUSD), leveraged yield farmers gain more rewards in Token A and a larger share of the trading fees than otherwise. ## Social Media Links ### Telegram - ### Twitter - ### Facebook - ### Reddit - ### Medium - ### YouTube - ### GitHub - ### BitcoinTalk -