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  • Liquidity Pools
    • Providing Liquidity
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  • Providing liquidity
  • Calculating rewards
  • Withdrawing rewards
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  1. Liquidity Pools

Providing Liquidity

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Last updated 3 months ago

Some tokens are not originated from this bridge and already deployed on several blockchains. To make cross-chain transfers of these tokens possible, bridge needs liquidity. To incentivise providing of liquidity, bridge distributes part of collected fees during bridge transfers to liquidity providers.

Providing liquidity

To provide liquidity, you can deposit to with any supported token.

Calculating rewards

Liquidity rewards depends on liquidity pool fee, transfer volume of provided token and relative share of provided liquidity between other liquidity providers.

Let's say you provided 1000 USDT on Ethereum liquidity pool, which is 5% of all liquidity provided to USDT on this chain (relative to other liquidity providers). Some bridge user transfers 100 USDT from other chain to Ethereum. In case liquidity pool fee is 1%, you will get (100 USDT * 1%) * 5%, resulting in 0.05 USDT of rewards on this transaction. More volume goes through the pool, more rewards you receive.

Withdrawing rewards

Liquidity pools do not have any limitation on when or how much liquidity provider can withdraw from it.

liquidity pools contract