Liquidity Pools
When you add your token to a Liquidity Pool you will receive Liquidity Provider (LP) tokens and share in the fees.
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When you add your token to a Liquidity Pool you will receive Liquidity Provider (LP) tokens and share in the fees.
Last updated
As an example, if you deposited JAMON and MATIC into a Liquidity Pool, you'd receive JAMON-MATIC LP tokens.
The number of LP tokens you receive represents your portion of the JAMON-MATIC Liquidity Pool.
You can also redeem your funds at any time by removing your liquidity.
Providing liquidity gives you a reward in the form of trading fees when people use your liquidity pool.
Whenever someone trades on JamonSwap, the trader pays a 0.25% fee, of which 0.17% is added to the Liquidity Pool of the swap pair they traded on.
Providing liquidity is not without risk, as you may be exposed to impermanent loss.
