Liquidity

Anyone can become a liquidity provider on Blink by depositing an equal value of two tokens into a liquidity pool. By doing so, they earn a share of the trading fees generated by the pool. Liquidity providers play a crucial role in maintaining the efficiency and liquidity of the platform.

Provide Liquidity

LP Farms or Yield Farming provides the opportunity to users to earn rewards by staking liquidity provider (LP) tokens in the Yield Farms. The rewards you receive depends on the APR of the Yield Farm you're staking in. Anyone can deposit tokens to liquidity pools to become a liquidity provider on Blink and start to earn trading fees from the liquidity. Each farm has its own APR, depending on the value of LP tokens, and price of $BLINK

LP Tokens

By providing liquidity, you will receive Liquidity Pool (LP) tokens. These LP tokens track pro-rata shares of the pool reserves and can be redeemed for the underlying assets at any time.

Trading Fees distributed to Liquidity providers

To ensure that there's always enough liquidity on the platform for smooth trading, we incentivize investors to provide liquidity by paying a big portion from the 0.3% trading fee to them whenever someone swap their tokens on Blink.

5/6 of this fee is returned to Blink Farm smart-contract. LP-providers can stake his LP and get reward in $WETH. 1/6 of this fee is returned to liquidity pools as a reward for liquidity providers.

This way, liquidity providers will earn 0.05% of all trades in the pool. For example, in a trade of 1,000,000 USDB, 500 USDB are added to the liquidity pool and can be collected by liquidity providers.

But that's not all. LP-providers participate in collecting points for holdTime*liquidity. And when the $BLINK token is released, LP-providers will receive a proportional $BLINK

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