FAQ: How do I provide liquidity on Collection.xyz?

Any individual with NFTs and ETH can create a two-sided liquidity pool to provide liquidity on Collection.xyz — follow these steps below to get started.

Providing liquidity on Collection.xyz

1. To create a liquidity pool, navigate to the Top Vaults section on the Collection.xyz main page and select a collection vault to deposit.

• You will need to own NFTs of the collection belonging to the selected vault and ETH tokens in your wallet.
• #Tip: Choose vaults to deposit based on factors such as rewards, reward emission expiry, total value locked and the NFTs you own.

2. Set a start price.

• Your start price is effectively the mid price in trading terms. Sudoswap applies the pool fee and their platform fee before applying the delta to derive the buy and sell prices of your pool.
• #Tip: To optimize your trades, we recommend setting your start price at or near the current floor price of the collection.

3. Set the amounts of ETH and NFT to deposit.

• Set the number of NFTs your pool can buy up to and you will need to deposit the corresponding ETH amount to support future buys.
• Set the number of NFTs your pool can sell up to by selecting the NFTs from your wallet and click “Confirm selection”.

4. Click “Deposit” button to initiate deposit of ETH and NFTs.

5. Confirm the transaction in these four steps to finalize the deposit.

• Confirm the transaction in your wallet.
• Confirm the creation of a sudoswap pool and minting of a LP token.
• Confirm the spending of LP token.
• Acknowledge the staking of LP token into your selected vault.

This is the current iteration of Collection.xyz and its interface will change with time as we implement new features and functionalities for our users.

We’d love to hear what you think! Join the Collection.xyz community Discord to chat with our team and follow on Twitter for the latest updates.

Updated as of Oct 28, 2022 by Team Collection.xyz

• Visit our website: https://collection.xyz
• Follow on Twitter: https://twitter.com/collectionweb3
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