📎Liquidity

Overview

RyuFinance will directly reward 2/3 of the fee income that is 0.2% of the fee to the LP provider. Everyone can get rewards by adding liquidity.

When you've provided liquidity, you will receive ryuLP tokens (Ryu Liquidity Provider tokens) as proof of contribution.

For example, if a user deposited $SUI and $RYU into a pool he would receive SUI-RYU ryuLP tokens. These tokens represent a proportional share of the pooled assets.

How a pool accrues value from fees

If at the time of a trade, there are 100 LP tokens representing 100 SUI and 100 RYU, each LP token would be worth 1 SUI and 1 RYU.

If one user exchanged 10SUI to 10RYU and another user exchanged 10RYU to 10SUI, then there would now be 100.02 RYU and 100.025 SUI in the pool.

This means each LP token would be worth 1.00025 SUI and 1.00025 RYU when it is withdrawn.

Adding liquidity to an existing pool

You need to provide tokens in a 1:1 value ratio to the liquidity pool. This means that if you are adding to, say, a RYU-SUI pool, and wish to provide 2000 SUI worth of liquidity, you would need to convert approx 1000 SUI to an equal value of RYU tokens first via our Swap.

Adding liquidity to a new pool

If the pool you wish to provide liquidity to does not exist, you can create it of course! Just provide the tokens and off you go. As the first liquidity provider, you set the initial exchange ratio (price) if one of the tokens in the pair does not exist yet on RyuFinance. This often quickly corrects itself through arbitrage and by more liquidity providers adding to the pool.

How to add liquidity on RyuFinance?

Add liquidity page

Go to the page of adding liquidity through the homepage.

Select tokens

Choose the token pair you want to add liquidity to, regardless of the order.

Type values

Enter the amount you want to add for the selected token pair.

If the selected token pair has already been created, you only need to enter the amount of one token. RyuFinance will automatically calculate the pairing amount required for the other token.

If the token you choose has not been created, you need to set the initial conversion ratio yourself.

Add liquidity

After confirming the amount of liquidity that needs to be added, click the "Add Liquid" button and click the "Approve" button in the pop-up wallet confirmation box to complete the transaction submission of adding liquidity.

Waiting result

So far, the transaction to add liquidity has been submitted, and we only need to wait for the message to be confirmed.

If liquidity is added successfully. Then you can view the added liquidity in "Positions".

How to remove liquidity on RyuFinance?

View the positions

Users can view all added popularity on the "Positions" page.

Select the pair you want to remove

Click the small triangle button behind the LP to expand the detailed information of the pair.

If you want to remove the LP, please click the "Remove Liquid" button.

Enter the amount of LP to remove

Enter or slide to select the number of LPs to be removed in the pop-up box.

Remove Liquidity

After confirming the amount of liquidity that needs to be removed, click the "Remove Liquid" button and click the "Approve" button in the pop-up wallet confirmation box to complete the transaction submission of removing liquidity.