How to Series — How to get LIEN
In this article, we’ll go over how you can acquire LIEN using the Lien app.
What is the Lien token?
The Lien token (LIEN) is a utility token that the holders can use to receive discounts on the protocol fees that are required when transacting on the Lien Protocol and FairSwap
The Lien Protocol charges a fee (0.2%) when users mint the iDOL stable coin and when they exchange assets using FairSwap (0.3% — variable).
Fees are collected in ETH or iDOL and are then distributed proportionally to holders of the Lien Token as discounts/rebates every 28 days. 100% of Lien Protocol fees and 20% of FairSwap fees are attributed to Lien token holders.
LIEN Token Metrics
How to get LIEN using the Lien app
Getting LIEN using the Lien app is very easy!
The first thing you have to do is to acquire iDOL, which is the stablecoin issued by the Lien protocol.
iDOL is also the base currency when trading on FairSwap.
A step-by-step guide on how to get iDOL can be found here.
Once you have iDOL, all you have to do is to trade that for LIEN.
This should be a familiar exercise for most people and we’ll walk you through the process so keep on reading!
How to trade iDOL for LIEN
Step 1 Connect wallet and go to Trade screen
Go to https://app.lien.finance/ and connect your wallet.
After your wallet is connected, click Trade in the top menu bar.
Once you are in the Trade screen, click on the Select Market pull down and select the LIEN-iDOL market under Token Markets.
Step 2 Enter amount to trade
Enter the amount of iDOL that you want to convert to LIEN (or the amount of LIEN that you want to acquire) and click Swap Now.
If this is the first time you are trading this pair, you will be asked to approve the transfer of tokens.
Some things to note here.
Pay attention to the slippage information.
Depending on the size of the order and the liquidity being provided to the liquidity pool at that time, slippage could be significant.
Slippage is set to a default of 5% and can be decreased to 0.1%.
It is important to note that your order exceeding the slippage limit will not be settled.
You will be refunded for the portion of the order that did not get settled.
Step 3 Confirm transaction with wallet
After you click the Confirm button, your wallet will ask you to confirm the transaction.
Your wallet will ask you to confirm several times depending on the steps required for the transaction.
Approve settings can be changed in the dApp settings which you can access by clicking the gear icon.
You can see the progress of your transaction in the notification area.
You might see a “Force Order” button appear in the notification area.
Don’t worry this is normal.
To ensure that your trade is being executed “fairly”, FairSwap is batching txns and waiting for other orders to come in.
Depending on the current trading activity on FairSwap, this might take a while.
If you are in a hurry and don’t want to wait, you can push your order through by pressing “Force Order”.
Step 4 That’s it!
Once your transaction is successfully confirmed on the blockchain, your balance will refresh.
Now that you have LIEN tokens, you can leave them in your wallet and start receiving fees collected by the Lien protocol and FairSwap.
See more details here.
You can also provide liquidity using LIEN and iDOL and receive liquidity provider rewards as well!
In future articles, we will go deep into the Provide Liquidity functionality so stay tuned!