# Re-investing Strategy

### What is the Re-investing Strategy?

The Re-investing strategy that involves utilizing earned profits to automatically reinvest into existing cultivation positions. By doing so, this strategy has the potential to generate increased profits over a specific timeframe, creating a compounding effect that maximizes gains.

This strategy leverages the concept of compound interest, allowing amplify your returns and optimize your yield farming experience.

### How Does It Work?

**Step 1: Opening a Farming Position**

Begin by initiating a farming position within the OpenWorld platform. Choose the desired assets and liquidity pool to participate in yield farming.

**Step 2: Leveraging OpenWorld Auto-Compounding Bot**

Once your farming position is established, OpenWorld's auto-compounding bots come into play. These bots operate autonomously to reinvest your earned profits back into the selected positions, effectively enhancing your overall yield.

The auto-compounding strategy is executed at regular intervals of 24 hours. This frequent optimization ensures a continuous fine-tuning of your investments, contributing to optimal returns over time.

### The Formula: Optimization for Higher Returns

The optimization of this strategy revolves around the concept of compound interest, which can be calculated using the following formula:

**R** is the Annual Percentage Rate (APR)

**N** is the compound frequency

Last updated