Strategy Examples

Since I-TOKENs represent future yield, users may mint and sell that future yield before it has been created. This provides users access to the future productive capacity of their capital upfront.

Farmers may wish to purchase ITOKENs instead of locking tokens into a contract, especially since these I-TOKEN positions will be less capital-intensive than depositing into a farm. These farmers will naturally want to purchase I-TOKENs when they trade at a discount to their expected future value, providing demand and therefore liquidity for users who simply wish to access their yield upfront.

Users who may not wish to buy or sell future yield may still benefit from participating through Jungle, since they are able to LP their J-TOKENs in a stable pool (eg the J-SOL/SOL pool) for additional farm rewards while still holding their I-TOKENs representing the auto-compounding yield generated via staking. Since our Saber pools allow single-sided LP deposits, users who choose to participate with this strategy will earn additional upside compared to staking manually or through another protocol.

Note that Jungle I/J tokens can be bought on the market and then redeemed at any time during the Active and Expired phases of a contract. They may also be minted at any time during the Warmup and Active phases. This means that if a user believes an I-TOKEN is over or under-valued, they are able to mint or redeem I-TOKENs and J-TOKENS in combination to perform arbitrage against the pool/market, keeping their value in line.

The granularization of value also allows for easier asset/portfolio hedging and management when used in combination with short positions either on-chain or via centralized exchange (CEX).