RAY can be staked or deposited into liquidity pools on the Raydium platform in order to earn additional rewards. Every time a trader swaps assets using a Raydium liquidity pool, a 0.03% fee is paid out in RAY to those who are staking tokens in that pool.
Read moreHow does raydium liquidity pool work?
Liquidity pool explanation: These tokens represent a proportional share of the pooled assets, allowing a user to reclaim their funds at any point . Every time a user swaps between $RAY and $USDC, a 0.25% fee is taken on the trade. 0.22% of that trade goes back to the LP pool.
Read moreHow do liquidity tokens work?
LP tokens represent a crypto liquidity provider’s share of a pool, and the crypto liquidity provider remains entirely in control of the token . For example, if you contribute $10 USD worth of assets to a Balancer pool that has a total worth of $100, you would receive 10% of that pool’s LP tokens.
Read moreHow are LP tokens calculated?
For example, if you contribute $10 USD worth of assets to a Balancer pool that has a total worth of $100, you would receive 10% of that pool’s LP tokens . You receive 10% of the LP tokens because you own 10% of the crypto liquidity pool. The LP tokens become your claim to your share of the pool’s assets.
Read moreHow does raydium make money?
Raydium farms allow liquidity providers to earn tokens as reward incentives for providing liquidity, in addition to trading fees. Stakers in Raydium farms earn RAY while stakers in Fusion pools can earn project tokens!
Read moreHow does raydium liquidity work?
Every time a user swaps within a Raydium liquidity pool, a 0.25% fee is taken on the trade. 0.22% of that trade goes back to the LP pool. 0.03% of that goes to RAY staking. Fees deposited into the LP pool increase the number of tokens that you get back when you withdraw liquidity.
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