> For the complete documentation index, see [llms.txt](https://docs.smardex.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.smardex.io/ultimate-synthetic-delta-neutral/periphery/long-farming.md).

# Long farming

**Introduction to Long Farming**

Long farming is an annex contract within the [USDN protocol](/ultimate-synthetic-delta-neutral/the-usdn-protocol/glossary.md#usdn-protocol) that incentivizes long-side users to engage in the system actively. Users can use the long farming mechanism to boost their [yield](/ultimate-synthetic-delta-neutral/the-usdn-protocol/glossary.md#yield) through rewards. This mechanism aligns with the USDN protocol's decentralized vision, prioritizing transparency, security, and efficiency.

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**How Long Farming Works**

Long farming allows participants to generate rewards with their USDN protocol positions. Participants can:

* **Earn rewards:** Accumulate rewards based on their contribution to the protocol.
* **Enhance exposure:** Maximize potential gains through [leveraged](/ultimate-synthetic-delta-neutral/the-usdn-protocol/glossary.md#leverage) positions.
* **Contribute to stability:** Help maintain the protocol's [delta-neutral](/ultimate-synthetic-delta-neutral/the-usdn-protocol/glossary.md#delta-neutral) structure.

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Key components

* **Position management:** Users can deposit, withdraw, or harvest rewards from specific USDN protocol positions.
* **Reward distribution:** Rewards are distributed based on the initial [trading exposure](/ultimate-synthetic-delta-neutral/the-usdn-protocol/glossary.md#trading-exposure) of the position and the reward allocated per block.

Security components

* **Notifier incentives:** The long farming contract must trigger when a position is [liquidated](/ultimate-synthetic-delta-neutral/the-usdn-protocol/glossary.md#liquidation) in the USDN protocol to halt rewards to the owner and remove the position from the contract. To ensure protocol health, the contract incentivizes notifiers to report liquidations. The notifier receives a part of the position's reward.
