Providing Liquidity on Plit Protocol

Choose a project: First, you need to choose a project that you want to provide liquidity for. This can be based on factors such as trading volume, APY, or personal preference.
Deposit stablecoins: Once you have chosen a project, you can deposit stablecoins such as DAI or USDC to the corresponding project vault. This will allow you to earn fees from trading on the decentralized exchange.
Receive an NFT: When you deposit stablecoins, you will receive an NFT that specifies the amount of stablecoins deposited, the contract address where the funds are held, and the price of the project token at the time of deposit.
Earn fees: As traders use the decentralized exchange to buy and sell the project's tokens, you will earn a share of the trading fees proportional to the amount of liquidity you have provided.
Withdraw: You can withdraw your liquidity at any time by redeeming your NFT. The newly created contract linked to your NFT will transfer the stablecoins and fees earned to your wallet. The remaining project tokens will be sent to the project's vault for the next liquidity provision.

Last updated 2 years ago