magicLVL: Abracadabra’s Automated Compounder for staked Level Finance Tranches
magicLVL is Abracadabra’s auto-compounder for Level Finance Tranches , whereLVL yield produced by the tranches farming is automatically auto-compounded back into magicLVL.
magicLVL comprises three distinct autocompounders:
- MagicLVS for Senior Tranches
- MagicLVM for Mezzanine Tranches
- MagicLVJ for Junior Tranches
Each of these assets contain diverse underlying tokens, featuring various weights and risk profiles that can be staked into different staking contracts!
Please Note: The following tutorial is executed using Senior Tranches, but is similar for each of the autocompounders.
Once in the wallet, you can deposit Tranches by inserting the desired amount in the upper box, on the right side of the screen. The first time you interact with the contract, you will need to approve Tranches token spending before you can click on “Stake”.
Note also that if you have tranches staked into the staking system directly on Level Finance, you will be asked to withdraw first, and then deposit into MagicLVL. After having approved the transaction in Metamask, you will now have magicLVL tokens in your wallet and rewards will begin compounding!
In order to “Unstake”, please click on the two arrows on the left side of the screen.
Once done, you can input how many magicLVL tokens are to be unstaked. The first time you interact with the contract, you will need to approve magicLVL token spending before you can click on “Unstake”. After approving the transaction in Metamask, you will now have the underlying tranche tokens in your wallet, and in order to resume earning LVL rewards, you will need to stake again on Level Finance!
Note: The exchange rate between the underlying tranche and magicLVL changes twice per day, each time a harvest is called and rewards are compounded!
The dashboard contains a graph of each of magicLVL’s tranches historical performance (APY) across various time frames. The y-axis represents the APY and the x-axis represents the date. In the top right corner of the screen, users will be able to see the magicLVL tranches you have selected APY, which factors in auto compounding. This calculation assumes two harvests per day, and includes the 1% management fee taken by the protocol. In the middle right section of the screen users will be able to see the magicLVL Tranches:Level Tranche exchange rate. As more and more fees get added, 1 magicLVL token will be worth more than 1 tranche token.
Lastly, users will be able to check how many tranches tokens or magicLVL tokens are available in their wallet, as well as the dollar value of those tokens. Below that, users will be able to find the total supply of magicLVL as well as the total rewards earned by magicLVL!