Liquidity Pools
Last updated
Was this helpful?
Last updated
Was this helpful?
Liquidity pools are places to pool tokens (which we sometimes call liquidity) so that users can use them to make trades in a decentralized way. These pools are created by users and decentralized apps (or Dapps, for short) who want to profit from their usage. To pool liquidity, the amounts a user supplies must be equally divided between two coins: the primary token (sometimes called the quote token) and the base token (usually ETH or a stable coin).
LP tokens are the main DeFi component on Luxy. Owning our LP tokens will provide access to marketplace features and rewards.
20% of the $LUXY supply is allocated to provide liquidity and rewards for $LUXY! It is used for 2 purposes:
Total Incentives: 20,000,000 $LUXY
Initial LP
An initial liquidity pool for a DEX was set up with 12.5% of total incentives. In total, 2,000,000 $LUXY + 200,000 USDC were allocated to launch $LUXY on SushiSwap, with an opening price of $0.10.
[CLOSED] Liquidity Mining
Total Rewards: 10,000,000 $LUXY
The liquidity mining program had a duration of 1 year. Our goal was to help attract liquidity into the Luxy Marketplace protocol. Through this, 50% of the tokens directed to incentives were distributed through with a duration of 3 months for users who lock LUXY-USDC LP tokens in the contract.
NOTE: The LUXY Team was not allowed to participate in any LP incentives.
