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Trader Joe and zJOE

In this section you'll learn about the basics of using Vector Finance's zJOE to earn USDC!

What is zJOE?

zJOE is our innovative cross-chain liquid staking token for JOE. Users can convert their JOE on Vector using the pool and receive zJOE for doing so. You can stake zJOE on Vector to earn USDC rewards from Trader Joe's trading fees that are given to JOE stakers.

How does zJOE work?

When you convert JOE on Vector's site, your JOE is utilized to stake in the sJOE pool on Trader Joe. The sJOE pool on Trader Joe earns USDC rewards from the trading volume on JOE. Vector allows users to easily earn those rewards all without have to move their JOE around different chains and worrying about getting the best APR!

What problems does zJOE solve?

Normally for a user to earn USDC with their JOE they'd need to stake it on Trader Joe's sJOE pool. Each pool on Arbitrum, Avalanche, and elsewhere earns rewards from the trading volume on that chain. This makes receiving the best APR difficult for the average user. They have to guess how the network volume will do, bridge their JOE, stake, and repeat if patterns change! zJOE eliminates that problem!

How does zJOE solve this problem?

When you convert JOE on Vector we take that JOE and manage it for you, bridging it safely and securely and making sure you're getting the best yield possible. Our average APR for zJOE repeatedly beats out those on one single chain! We utilize an automated system to do all of this, and Layer Zero technology for bridging so you never have to worry about the process.

zJOE Liquidity and Buybacks

The Vector team occasionally utilizes staked JOE to buyback zJOE from the zJOE/JOE liquidity pool on Trader Joe when the ratio is below a certain rate. This ensures stability for the ratio and is a great way to purchase permanent USDC yield for locked VTX at a discounted rate.

Things to know about zJOE

  • We move JOE between networks, and distribute rewards, on a two-week based epoch.
  • zJOE conversion is permenant: when you convert JOE on Vector it becomes owned by the protocol.
  • We provide zJOE liquidity on Trader Joe for ease of entry and exit: you can always trade your zJOE for JOE, but note you may receive less than 1 for 1 depending on the ratio in the pool.
  • We take a small fee (see Performance Fees) for managing the program. This fee is distributed between the Vector team and VTX lockers as USDC.
  • Our zJOE pools are offered as manual type (receive USDC) or autocompounding (allowing you to DCA into zJOE).

Learn more about zJOE