Liquidity Pools
Provide liquidity to a token's exchange and earn a share of 0.5% of every trade.
How to Add Liquidity
- Navigate to the token's Exchange panel
- Select Stake
- Enter the amount of TOKEN and USDU to provide (equal value)
- Click Stake → confirm
- You receive LP shares proportional to your contribution
How to Remove Liquidity
- Navigate to the token's Exchange panel
- Select Unstake
- Enter the number of LP shares to withdraw
- Click Unstake → confirm
- You receive your TOKEN + USDU back
Pool Dashboard Panels
| Panel | Shows |
|---|---|
| Pool Overview | Current price, total liquidity, APY |
| Pool Ownership | Liquidity providers and their share % |
| Staking History | All LP transactions |
| Exchange Staked | Total value of your staked position |
Rewards
- Earn up to 0.5% of every trade in the pool
- Rewards are proportional to your share of total liquidity
- Higher trading volume = higher returns
- APY is calculated from fees paid to LPs over the past year
Understanding Impermanent Loss
When token prices change relative to when you provided liquidity, you may experience impermanent loss. This is a trade-off inherent to all AMM liquidity provision.
Mitigate by:
- Pairing with USDU (stablecoin) to reduce price divergence
- Taking a long-term view — accumulated fees often offset the loss
- Monitoring your positions regularly
→ See also: Staking Concepts · Pool Staking Pallet