Supply Liquidity to V3 pool

Providing Liquidity & V3 LP NFT Token

Liquidity Providers (LPs) are ecosystem participants who supply assets in V3 pools. KLAYswap manages price ranges of concentrated pool with NFT. Users will receive KLAYswap V3 LP NFTs as proof of providing liquidity when they supply assets into liquidity pools.

The NFT represents ownership of the assets supplied, so users will continue to receive pool usage fee profit from that pool while their assets remain supplied.

When assets are removed from concentrated pools, the corresponding NFTs are automatically returned as they no longer provide liquidity.

*KSP Distribution Rewards

Liquidity providers who provide liquidity to the V3 KSP reward pool will receive KSP mining rewards based on their LP stake. (Daily KSP distributions will be made under the KSP distribution policy)

*Transaction Fee Profit

Liquidity providers for the V3 pool will be compensated with pool usage fees based on their LP stake in the pool. The liquidity providers can claim the distributed pool usage fee at "claimable" and receive it directly in their wallets.

*Token Airdrop Rewards

For pools conducting airdrop events, liquidity providers will be compensated with airdrop tokens based on their LP stake in the pool.

Migration Management based on Concentrated Pool Condition

V3 pool suppliers provide liquidity at specific prices where they anticipate transactions occurring, and they receive pool usage fee profits when transactions occur in their assets (liquidity). However, if the current token price is out of the price range they supplied (out of range), supplied assets will no longer be used for swaps, and they will not be able to earn rewards distributed by the pool (swap fees and reward tokens). Thus, suppliers are required to manage their assets carefully to ensure the price ranges they supplied are valid (in range).

Concentrated pools fall into three categories: In range, Caution, or Out of range.

Please refer to the V3 to V3 MIGRATION Guides and Detailed Policy

V3 to V3 Migration GuideV3 to V3 Migration Policy

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