October 2026 Pact Update: Permissionless Farms, New Reward Structures, Pool Deprecation & More!

October brings some major updates to Pact, including the next evolution of our farms, changes to reward distribution, progress toward clMM, and continued improvements across the Algorand ecosystem.

Let's dive into what's new and what's coming next.

1. Permissionless Farms Are Here

This month marks a major step forward for Pact Farms, with the introduction of a more flexible farm system designed to support permissionless creation and a wider range of strategies.

With permissionless farms, users will be able to create and customize their own farms for a low cost of 2,500 $POW to create a farm, plus 100 $POW per day.

Rather than burning these fees, they will be directed back into the ecosystem to support the launch of the first-ever single-sided $POW farm, where users can stake $POW and earn $POW.

More Flexibility, More Possibilities

The new system introduces significantly more flexibility, allowing users to:

• Stake any LP token, not just Pact LP tokens.
• Stake individual tokens to create single-asset farms.
• Configure variable APRs based on the amount staked.
• Set minimum and maximum APR limits.
• Create farms that accept multiple staking assets.
• Choose their preferred reward token, allowing stakers to select which token they want to receive as their payout from a farm.
• Build unique reward strategies tailored to their goals.

The permissionless farm creation interface is not available to everyone just yet, but we expect to roll it out later this week. In the meantime, our new farms utilizing this system are already live.

A Special Shoutout to Merchant of Algo!

A big shoutout to Merchant of Algo for being the first to create permissionless farms on Pact!

They have launched the first two farms using the new system:

• POVERTY → POVERTY — Stake POVERTY and earn POVERTY.
• HAY/POVERTY LP → POVERTY — Stake HAY/POVERTY LP tokens and earn POVERTY.

It's great to see the community already putting these new tools to use and exploring what's possible with permissionless farming. We're excited to see what other projects and creators build next!

Coming Soon: Stake ALGO, Earn ALGO

We're also preparing a special ALGO → ALGO farm, allowing users to stake ALGO and earn ALGO rewards.

This will introduce another single-sided staking opportunity to the ecosystem, giving ALGO holders a new way to participate in Pact Farms.

More details will follow as we get closer to launch.

We appreciate your patience as we continue refining farm distributions to better align incentives with our key objectives: growing TVL, increasing transaction volume, and generating fees.

This is an important step toward giving the community more control over how rewards are distributed and how new strategies are developed on Pact.

2. A New Approach to Rewards and $POW Distribution

Alongside the new farm system, we're introducing a pre-governance program to provide better oversight of $POW emissions.

The goal is to prevent underutilized farms and unsustainable APRs while establishing more consistent and dependable reward rates. We want users to have a clearer picture of what they can expect when participating in farms, making it easier to plan their strategies.

We're also evolving how farm rewards are distributed. $POW will be the default reward token, but users will have the flexibility to choose any supported token as their payout.

This approach encourages greater utilization of $POW across the Pact ecosystem while giving users the freedom to receive and support other ASAs of their choice. Whether users prefer to accumulate $POW or earn rewards in another token, the new system provides flexibility without sacrificing our focus on growing the platform.

It also allows us to focus more directly on platform volume and our core performance metrics. We can better reward $POW liquidity providers through higher APRs generated from platform volume, while maintaining more consistent reward structures across the ecosystem.

Ultimately, these changes are designed to align incentives more closely with actual platform usage and long-term growth, while giving users greater choice in how they participate.

3. Legacy Pool Migration and Deprecation

The migration to the new Pact site has now closed, and we encourage anyone still using legacy pools to migrate to the new pools as soon as possible.

As previously announced, legacy pools are now considered deprecated. They are no longer supported in the same way as our new pools and operate under degraded conditions, with the protocol taking 50% of the configured fee.

The new pools offer significantly improved efficiency and are the foundation for Pact's ongoing development.

If you're still participating in legacy pools, now is the time to make the move and take advantage of the improvements available through the new Pact infrastructure.

4. clMM Is Getting Closer

The long-awaited clMM launch is finally approaching, and we're continuing to make progress toward bringing it to the Algorand ecosystem.

Our closed testing group continues to put the system through its paces as we work to ensure everything is as polished and reliable as possible ahead of launch.

We've completed an internal audit of the contract and are working with external partners to conduct further audits and strengthen confidence in the code. We're also preparing to make the launch as successful as possible for the community and the broader ecosystem.

These additional steps have taken time, but we believe getting the details right is worth the effort.

We're excited to be entering the final stretch and, fingers crossed, hope to share more good news soon.

5. Hay.app Integration and Creator Fees

We're also happy to announce that Hay.app has updated its router to include all of Pact's new pools.

This means Hay.app users can now benefit from routing support for the latest Pact pool infrastructure.

In addition, Hay Launch, one of Algorand's premier launchpads, has been updated to support creator fees. This opens the door to new trading opportunities and innovative token-launch strategies made possible through Pact's new pools.

These developments are an exciting step toward expanding the possibilities for projects, creators, and traders across Algorand.

We're planning to launch a trading campaign later this month, so keep an eye out for more details.

Looking Ahead

October is shaping up to be an important month for Pact.

From permissionless farms and more flexible reward structures to the continued development of clMM and expanded ecosystem integrations, we're focused on building a more flexible, efficient, and sustainable platform.

With customizable farms, user-selected reward tokens, new single-sided staking opportunities, and more ways for projects to build on Pact, we're continuing to find ways to make $POW more useful while giving the community greater control over how they participate in the ecosystem.

A big thank you to everyone supporting Pact and helping us push the ecosystem forward, especially Merchant of Algo for being the first to put permissionless farms into action.

There's plenty more to come, and we look forward to sharing the next updates with you.

Stay tuned!