Auto compounding is a feature offered by Beefy Finance that allows users to automatically reinvest the rewards they earn from staking and yield farming into additional tokens. This allows users to compound their rewards and increase their overall returns. This is a great way to maximize returns from staking and yield farming without having to manually reinvest rewards each time. With auto compounding, users can set up their desired reinvestment parameters and let the platform automatically reinvest their rewards for them.