> For the complete documentation index, see [llms.txt](https://docs.auto.finance/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.auto.finance/auto-pools-protocol/autopools-tl-dr/auto-compounding.md).

# Auto-Compounding

### How Deposits Auto‑Compound

When your autopool position earns fees or rewards, they are **automatically reinvested** back into the position. This creates a simple “earn → reinvest → repeat” loop — what is generally known as **compounding**.

> **Let the autopool do the hard work for you:**\
> Less busywork (no manual claiming, swapping, and redepositing), fewer missed reward windows, and more time with your full balance working for you.

Gas cost will no longer restrict you from compounding your gains, as you are now swimming along with everyone else in the pool.

**FAQs**

* **Do I need to claim rewards?** Rewards from destinations are handled automatically by the strategy. Additional incentives, such as in the form of $TOKE, do need to be manually claimed.&#x20;
* **How often does compounding happen?** On a periodic basis and/or alongside rebalances; timing is tuned to minimize costs and maximize net benefit.
* **In what asset are rewards reinvested?** Back into the autopool’s strategy so your position grows in place.


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