# Auto Compounding Vaults

## Strategy Overview

<div align="left"><figure><img src="https://1570492309-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FffzDCMBDa391vIMqruBP%2Fuploads%2FNqu13FX7vmZwMw5DXooE%2Fimage.png?alt=media&#x26;token=63b6827b-c8a5-4368-b852-8fd34148ff0d" alt=""><figcaption></figcaption></figure></div>

**The general workflow is as follows:**&#x20;

* Users can deposit the aforementioned tokens (and more) into Beraborrow vaults&#x20;
* These positions are automatically staked with Infrared, to earn iBGT rewards
* These accrued iBGT rewards are then staked to earn additional yield (using our custom keeper bots)
* Accrued rewards iBGT+staking rewards are periodically used to purchase more LP tokens, increasing the users' position (this takes place during every 'rebalance' call from our keeper bot, called roughly every 4-10 mins)&#x20;

#### Fees

| Type            | Description                                                                              | Amount      |
| --------------- | ---------------------------------------------------------------------------------------- | ----------- |
| Deposit Fee     | Fee for depositing into Beraborrow's auto compounding vaults                             | 0%          |
| Withdrawal Fee  | Fee on withdrawing from Beraborrow's auto compounding vaults                             | 0%          |
| Performance Fee | The displayed APY  accounts for the 5% performance fee deducted from the yield generated | 5% on yield |

## Link to strategy

{% embed url="<https://app.beraborrow.com/vault>" %}

## Guide

**1)** Use a DEX, or DEX aggregator, such as ooga booga (<https://app.oogabooga.io/>) to swap assets into the target tokens of interest. For instance, a user might want to swap some BERA to a mixture of HONEY and USDC:

<figure><img src="https://1570492309-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FffzDCMBDa391vIMqruBP%2Fuploads%2FlWJdwUSejenT1uTdq5qu%2Fimage.png?alt=media&#x26;token=228d7167-45ee-48c9-8a09-a6fe5f414b2d" alt=""><figcaption></figcaption></figure>

**2)** Then, the user can add liquidity in order to receive the corresponding LP receipt token. An example of this with the BEX HONEY-USDCe LP pair is shown in the image below:

<div align="left"><figure><img src="https://1570492309-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FffzDCMBDa391vIMqruBP%2Fuploads%2FJhfLOZe8JhHkJZlvTRyL%2Fimage.png?alt=media&#x26;token=94d53403-d1b1-43cb-b9b8-1c02f33832b2" alt="" width="375"><figcaption></figcaption></figure></div>

BEX pools can be found here: [https://hub.berachain.com/pools](https://hub.berachain.com/pools/0xf961a8f6d8c69e7321e78d254ecafbcc3a637621000000000000000000000001/deposit/)

**3)** Finally, the user can navigate themselsves to the Beraborrow vault page, and stake the corresponding LP receipt token (or iBGT) through the Beraborrow interface:

<figure><img src="https://1570492309-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FffzDCMBDa391vIMqruBP%2Fuploads%2FWIKetOg6chFTDK5vLxtU%2Fimage.png?alt=media&#x26;token=ea93c728-9c3f-44e9-8634-7ab3630c96f2" alt=""><figcaption></figcaption></figure>
