πŸ’§ Liquidity Provision Guide

Become a Liquidity Provider (LP)

Earn fees by providing liquidity to trading pools:

Benefits of Being an LP

  • πŸ’° Steady Income: Earn from all trading fees

  • πŸ“Š Fee Transparency: 90% of open fees + 100% of hourly/liquidation fees

  • βš–οΈ Fair Distribution: Instant PnL reflection prevents unfair exits

  • πŸ›‘οΈ Risk Protection: Dynamic fees during high utilization

How LP Tokens Work

  • πŸ”„ Mint on Deposit: Receive LP tokens representing your share

  • πŸ“ˆ Value Tracking: Token value reflects pool performance

  • πŸ’Ž Burn on Withdrawal: Return tokens to withdraw your assets

  • ⏱️ Real-time Updates: Unrealized losses reflected instantly

LP Fee Structure

Fee Type
LP Share
Notes

Open Fees

90%

Traders pay 0.35% base rate

Hourly Fees

100%

0.004% per hour base rate

Liquidation Fees

100%

Full liquidated collateral

Overexposure Fees

100%

Dynamic rates up to 7,300% APR

Over-utilization Fees

100%

+33% when >90% utilized

Withdrawal Process

  1. Request Withdrawal: Specify LP token amount

  2. Fair Valuation: 5-second delay for accurate pricing

  3. Available Liquidity: Only unused assets can be withdrawn

  4. Slippage Fee: 0.1% stays in pool for remaining LPs

  5. Queuing System: First-come-first-served if liquidity is low

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