CashMaster has already approved SparkSwap. I am now giving it a one-year road trial. For the first six months, there will be monthly updates.

SparkSwap is a Defi (Decentralized Finance) protocol. The system makes money through Yield Farming, also known as liquidity mining. This process allows holders to lock up their holdings and receive rewards in cryptocurrency, thereby generating a passive income.

If you sign up through the link at the end, you will get access to the entire video course for SparkSwap called The Crypto Secrets Lab. This covers all the knowledge needed in a step-by-step, colourful, and highly digestible manner. It suits the complete beginner (who knows zilch about crypto) and those already crypto-savvy. The video course also contains essential safety information that should be followed carefully. Most people can complete the course in a few days and then earn money.

SparkSwap claims you can earn over 100% APR from some (currently four) of its Yield Farms. And that’s without compounding, which you can also do. Interest is paid out daily.

At present, there are 13 Yield Farms from which to choose. Such high APRs are possible, as the team behind SparkSwap invented a popular tool for crypto users. In return for helping fund future expansion, you get a share of the fees from users.

The Crypto Secrets Lab video course covers four protocols for earning passive income with SparkSwap: The Yield Farms, The Vaults, The Sparkler and The Infinite Money Generator:

The Yield Farms

The farming analogy is apt because the principle is similar here, just as you plant and harvest crops. You invest, and every day, you’ll see rewards come in. Each Farm has a different Liquidity Pair (LP) consisting of a combination (50:50 ratio) of two different crypto coins. LPs are used in SparkSwap to increase their stability, as cryptocurrency can be volatile. The Farm pays out in Sparks, the native currency of SparkSwap. These Sparks can be re-invested into the Farm, The Vaults, The Sparkler, The Infinite Money Generator or withdrawn.

Each farm has two potential profit streams. The first is the interest paid on your investment, as the APR indicates. The APR will vary according to market conditions. The good news is that even if the market is down, you will still get paid your daily return. The second profit stream is not guaranteed. It’s related to the fundamental value of your deposit coin pairs (LPs). Since the value of crypto can go up and down, so can the value of the initial deposits. But in the long term, they should see a steady increase in value. We are amid a bull run in the market, expected to continue into 2025.

You can claim Farm rewards daily, a few times a week, or monthly, depending on your time availability and interest. You can then re-invest.

On April 24th, 2024, I made a test investment in one of the high-paying LP Farms based on two crypto coins (Spark and PLS). PLS is the native token of the PulseChain blockchain network, and SparkSwap runs in the main on PulseChain.

Test investment – Initial investment on April 24th, 2024: 2,579.045 LP tokens (worth $10.72)

Investment worth June 4th, 2024 = 2,579.045 LP tokens (worth $9.14)

Passive income generated after 40 days = 22.89 Spark (worth $1.45)

Passive income generated as a % of initial investment worth (= $1.45/$10.72) = 13.53 %

Over 365 days, the % of initial investment worth above would correspond to an APR of 123.43 %. Note that I have not compounded any interest acquired in this test investment.

The overall gain so far is $9.14 + $1.45 – $10.72 = – $0.13. This is a slight loss due to the fall in the value of the deposit LP over the 40 days.

Moving forward – I’ve set up three Farms, each with 100 points starting bank:

a) Using the same LP as used in the test investment. As of June 4th 2024, the APR for this LP in SparkSwap was 107.31%

b) Using an LP based on stablecoins. Stablecoins are fixed to FIAT currency and vary only minimally over time. As of June 4th 2024, the APR for this LP in SparkSwap was 51.77%.

c) Using an LP based partly on the ETH token. As of June 4th 2024, the APR for this LP in SparkSwap was 16.52%.

The Vaults

The Vaults function similarly to the Farms, but the main difference is they compound your rewards automatically. Whatever interest you earn is claimed and then redeposited into the same Vault in one seamless automatic process. That process happens multiple times a day, 24/7, so you’re constantly growing your deposit amount that you earn interest on. Doing that alone would be impractical because you’d have to sit on your computer all day and all night, and the fees would be too much. With the Vaults, the gas fees are shared among all the Vault users. So, you can think of a Vault as a farm with an auto-compounding function. You’ll find that some Vaults offer 100% auto-compounding, and others allow one to select the fraction of the rewards that are auto-compounded, the rest being withdrawn manually.

There are currently 164 different Vaults. In general, the higher the APR, the higher the risk. Deposit funds are not locked in the Vaults; one can withdraw them anytime.

Test Investments – On April 25th, 2024, I made test investments in two of the Vaults:

a) This is based on Spark and PLS. As of June 4th 2024, the APR for this LP in SparkSwap was 157.52 %.

It compounds the rewards 100%.

Initial investment on April 25th, 2024: $93.52

Value of investment (accounting for the change in value of the deposit LP pair and Yield rewards) on June 4th 2024: $101.61

Gain of Vault: $8.09 (8.65%) consisting of –

i) Deposit Gain/Loss -$1.46 ( -1.56 %)

ii) Reward Gain $9.51 (10.17 %, which corresponds to 95.17% APR)

b) This is based on ETH and one other coin. As of June 4th 2024, the APR for this LP in SparkSwap was 15.11%.

It compounds the rewards 100%.

Initial investment on April 25th, 2024: $91.26

Value of investment (accounting for the change in value of the deposit LP pair and Yield rewards) on June 4th, 2024: $123.61

Gain of Vault: $32.35 (35.45%)

i) Deposit Gain/Loss $30.94 (33.90 %)

ii) Reward Gain $1.41 (1.55 %, which corresponds to 14.46% APR)

Moving forward – I’ve reset the two Vaults above to 100 points each.

The Sparkler

The Sparkler is what’s known as a time-locked ROI staking contract. It’s similar to the other farms, but instead of being able to withdraw your deposited funds, they’re locked for some time that you choose in advance. In return for locking your investment and daily interest, you get a bonus payout at the end of the term. The longer the lock, the greater the bonus.

After you earn Sparks from the FARMS, you can put those Sparks into The Sparkler. It takes the Spark you’ve earned, allowing you to earn even more. The Sparkler pays out an LP combination of Spark and PLS.

Moving forward – I’ve set up two Sparkler protocols with 100 points each. One is locked for a month and the other for a year.

The Infinite Money Generator

This strategy involves investing Sparks generated from the FARMS into The Sparkler. One then invests some of the tokens generated by the Sparkler partly back into the FARMS, the Sparkler itself, and so on, in a kind of infinite money loop. Some of the tokens generated by the Sparkler can also be cashed out as profit.

Moving forward – This is a strategy I may invest in and report later.

Concluding remarks

Looking at these investments hourly, daily, weekly, or monthly is tempting. However, when you look at them on a longer-term basis of many months, a year, or even years, as the smartest investors do, the likelihood of them increasing in value is much higher. Even if a coin drops in value in the short term, most of the time, over the long term, it should increase, so a long-term perspective is important.

Currently, the system can be purchased for a one-off payment of £997 or in three-monthly instalments of £350

You can try SparkSwap here.

Glossary:

Blockchain is simply a secure and transparent digital record of all crypto transactions, or, some say, a ledger.

Cryptocurrency, sometimes called crypto-currency or crypto, is any form of currency that exists digitally or virtually and uses cryptography to secure transactions. Cryptocurrencies don’t have a central issuing or regulating authority; instead, using a decentralized system to record transactions and issue new units.

dApps are decentralized applications that can be used for various purposes, such as gaming, finance, and social media.

Decentralized finance, or DeFi, refers to blockchain-connected platforms and applications that aim to replace centralized financial services networks. It is an emerging financial technology based on secure distributed ledgers similar to those used by cryptocurrencies. DeFi uses blockchain technology, cryptocurrencies, and software to enable peer-to-peer transactions, eliminating the need for intermediaries like banks and other financial institutions.

ETH (Ether) is Ethereum’s native cryptocurrency, used to pay for transaction fees and computational services on the network.

Ethereum is a decentralized, open-source blockchain platform that enables the creation of smart contracts and decentralized applications (dApps) on a peer-to-peer network. It is often called the “World Computer” due to its ability to execute arbitrary code on a blockchain.

Fiat currency, also known as fiat money, is a government-issued currency not backed by a physical commodity, such as gold or silver, but rather by the government’s decree or fiat.

A Liquidity Pair or Liquid Pair (LP) combines two digital assets that can be traded on a cryptocurrency exchange.

Open-source code allows developers to contribute to and modify the software platform.

PLS is the native token of the PulseChain.

Pulsechain is a blockchain network that aims to be a faster and cheaper alternative to Ethereum. It will increase Ethereum’s value by sharing the fee’s loads while being compatible with its smart contracts and decentralized applications.

ROI (Return of Investment) is defined as the percentage of growth or loss of the investment.

Smart Contracts are self-executing contracts with specific rules and regulations, enabling secure and transparent transactions.

Spark is the native token of SparkSwap.

SparkSwap is a Defi (Decentralized Finance) protocol that operates on Pulsechain and other blockchain networks.

Stablecoins are directly tied or pegged to the value of the US dollar.

Yield Farm, also known as liquidity mining, generates returns through additional cryptocurrency. It involves locking up a certain amount of cryptocurrencies and receiving interest in proportion to the amount.

You can try SparkSwap here.