> For the complete documentation index, see [llms.txt](https://docs.ferroprotocol.com/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.ferroprotocol.com/user-guides/ferro-stake.md).

# Ferro Stake

$xFER token is the yield-bearing token of the Ferro Protocol. Users can opt to convert $FER to $xFER at the prevailing exchange rate at any time. Ferro Protocol directs a certain portion of the protocol revenues (e.g. swap fees) into the $FER:$xFER conversion contract, resulting in the continuous increase of $xFER over $FER over time.

If you stake your LP tokens after providing liquidity to our pools and harvest your $FER rewards, 40% of the rewards will be directly converted into $xFER and locked in the 1-month vault, which will give you extra $FER rewards at a higher APR.

You can also choose to upgrade your $xFER vault to the ones with a longer locking duration with a higher APR to further boost your $FER rewards. Each batch of $xFER locked in the vault can only be withdrawn after the end of the locking duration of each batch.

As for the $FER tokens harvested and credited to your wallet, you are free to convert them into $xFER by staking, sell them directly, or use them to provide liquidity back into the protocol.

Any unlocked $xFER tokens can also be converted back to $FER by unstaking under Stake.