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RE: Complete Guide to Wrapped Hive | How to Wrap, Swap and Add Liquidity

in LeoFinance4 years ago

I have been considering helping to build liquidity for whive. When I tried to use it the other day the liquidity was pretty terrible, but I understand it's very new and we need to build up liquidity. Is it necessary to provide both ETH and WHIVE liquidity?

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You can also use Balancer and build new pool there for WHIVE.

The reason why I suggest Balancer is that you can choose your WHIVE:ETH ratio there (it doesn't have to be 1:1). Cheers!

Interesting. I’ve never used balancer, I’ll give it a shot

Posted Using LeoFinance

Let us know if you set this up, I'd like to join in - digging around to learn about Balancer now.

Cool I've been stacking up some liquid funds and researching how to do all this, so I'll check it out too.

Yes, the liquidity is very low. For example, I provided 1 ETH and 1600 wHive in this video, and as of today I own about 10% of the entire liquidity pool and thus, collect 10% of the fees with a pretty small investment.

It is necessary to provide both sides in equivalent amounts - I.e. 1 ETH + 1 ETH worth of wHIVE

Posted Using LeoFinance

Balancer actually allows users to fund liquidity pools with only one token; no need for 2 tokens of equal weight.

@khaleelkazi Something like 10% Hive/ 90% wETH or 10% Hive/ 90% wBTC would attract others not too familiar with Hive to take some exposure and offer liquidity on Balancer.

Also, you can reach out the the YFV Finance devs (https://bit.ly/DeFiArbitrage) and see if they are interested in adding a 98% wHive/ 2% YFV liquidity pool to their website. This way, we would get two birds with one stone; extra liquidity for Hive and a huge DeFi community becoming more aware of what Hive has to offer.

That's how it works, yes.