When interacting with the blockchain is always important to pay attention to what we are signing, when interacting with our farming service you will need to sign multiple times, let’s see and understand what are we signing:
- Authentication: The first transaction you will need to sign when interacting with our service is the authentication challenge, this transaction is a dummy transaction and you can identify it because it always will have a sequence: 0 (this is really important). This is actually a standard in the Stellar network and if you would like to understand more about you can read about here.
- Vault creation: When you want to start following an strategy you need to create a vault, this transaction includes multiple operations (normally 8 operations) which are separated into creation of the vault, set of trust lines and adding the signers to the account.
- Deposit: Deposits into the vault includes a payment from the depositor to the vault in a single asset, this asset will then be split into others (depending on the strategy) and will either deposit them into pools or place them in the order book.
- Withdraw: When you withdraw from the pool you will sign a transaction which includes the removal of the deposit from pools or cancel the placed offers, then the assets will be swapped into the deposit asset, remove the extra signers, withdraw the balance and lastly it will merge the account with the depositor (so it returns the initial 50 XLM when the vault was created)
One important thing: if there are fees involved in a strategy either deposit or withdraw fee, the operation will be included in the respective transaction.
Knowing what we sign in the crypto world is really important, we always recommend you double check what you are signing because it’s a good practice to follow 😀