With all the bullish sentiments over LUNA recently, you might have bought a bag of LUNA. Now, you are probably thinking of how to further grow your money with your bag of LUNA.

The simplest way is to stake your LUNA tokens to earn staking rewards. However, this also comes with a locking period of 21 days, where you will not be able to access your staked LUNA tokens.

If you are looking for alternative ways to earn more with your LUNA tokens, look no further. In this article, I will be introducing some yield farming opportunities that you can tap on to earn additional rewards on your LUNA.

Of course, this is not without risks such as Impermanent Loss, hacks, and other general yield farming risks. Do read up on these too before getting started.

(Also Read: A Deep Dive Into Automated Market Makers (AMM) Yield Farming And Its Risks)


First up, you can consider providing liquidity at TerraSwap.

Some main pools that you can consider providing liquidity to are the bLuna/Luna pools and the Luna/UST pools.

LUNA staking
Image Credit: Coinhall

If you are a huge fan of your LUNA tokens and cannot bear to lose any, I would suggest the bLuna/Luna pools.

The price of bLuna (or bonded LUNA) trades at a slight discount to LUNA, but overall its price mostly stays very similar to LUNA over time. This minimizes your Impermanent Loss, while offering you some nice farming gains.

If you prefer higher farming gains, you can consider the Luna/UST liquidity pool. But do note that Impermanent Loss will occur when Luna’s price increases over time. 

Simply put, as LUNA’s price increases, you will have less quantity of LUNA tokens if you choose to contribute to this liquidity pool.

Do note that in the near future, you can do these same yield farming strategies at the new Astroport protocol once it is fully launched.

Nexus Protocol

If you have some bLuna, you can also consider farming in Nexus protocol.

Nexus is a yield optimiser and liquidation protector protocol.

Nexus protocol
Image Credit: Nexus Protocol

Simply deposit your bLuna into the Vault to convert it into the Nexus equivalent, nLuna.

It currently has a nLuna-Psi liquidity pool that yields about 120% APR. Rewards are given in their native PSI tokens, so it would be worth a try if you are bullish on the protocol.

Yield farming on other blockchains

If you find the farming opportunities limited in the Terra ecosystem, you can even consider bridging your Luna tokens cross-chain and farming in other blockchains. Here are some of my favourites:


Osmosis decentralised exchange resides in the Cosmos ecosystem. You can easily bridge your LUNA tokens over by sending them to the Terra chain on your Keplr wallet.

If you don’t have a Keplr wallet yet, I would recommend getting one first as it allows for easy transactions in the Cosmos ecosystem.

Once it is in your Keplr wallet (Terra chain), simply deposit it into Osmosis DEX.

Image Credit: Osmosis

You can choose between several liquidity pools such as Luna/Atom, Luna/Osmo and Luna/UST, while earning rewards in Osmo, the native token of Osmosis.

The pools also allow you to choose different unbonding durations. The longer the unbonding duration, the higher the APRs.

DeFi Kingdoms

Another highly hyped GameFi project is Defi Kingdoms. It resides in the Harmony ecosystem currently, so you will need to bridge your Luna tokens via the Terra Bridge.

Once your LUNA tokens are at Harmony, you are ready to farm! Simply create your avatar at Defi Kingdoms to get started.

You can go to the Gardens -> Seed Box tab to view all the available farms that they have.

Image Credit: Defi Kingdoms

Here, you can add liquidity to the Jewel-Luna liquidity pool and earn over 400% APR rewards.

You will earn your rewards in the form of Jewel tokens. However, do take note that there is a locking schedule for the Jewel rewards earned.


There you have it, some yield farming ideas to better make use of your Luna tokens, both on and off the Terra ecosystem.

Before you jump right in, do take the time to read and consider the risks and rewards of yield farming too.

Happy farming!

Featured Image Credit:

Also Read: How To Create A Terra Station Wallet And Send Native $LUNA Tokens From Crypto.com, Gemini