LP Rewards

As a Liquidity Provider (LP) on DotSwap, you can earn rewards in multiple ways. Here's what you need to know:

LP Fees

• Default total transaction fees: 2.0% per swap.

• Breakdown: 1.6%—LPs, 0.4%—DotSwap.

• These LP fees are:

  • Shared among all LPs proportional to their pool share.

  • Credited directly to your V1 balance after each swap.

  • Withdrawable at any time.

• Rewards before 2024-07-15 had been added to the liquidity pool. You will receive them after removing liquidity.

• Rewards after 2024-07-15 will be automatically credited to your V1 account. You can withdraw them manually or use them directly for trading.

LP Points

You can earn LP points in two ways:

• When BTC or NUSD fees are generated from swaps.

• When providing liquidity to a trading pair for the first time.

Bonus: Xverse wallet users get an extra boost when providing to a trading pair for the first time.

Future of LP Points

LP points will be converted into DOTSWAP•DOTSWAP tokens in the future. This conversion offers long-term value for consistent liquidity providers

Why Provide Liquidity?

• Earn passive income through swap fees.

• Accumulate LP points for future DOTSWAP•DOTSWAP tokens.

• Contribute to the liquidity and efficiency of DotSwap and the whole Runes ecosystem.

Remember: While providing liquidity can be rewarding, it's important to understand concepts like impermanent loss. Always do your own research and invest responsibly.

Start providing liquidity today and maximize your DotSwap rewards!