LuaSwap V1.0 Announcement
LuaSwap completed the migration of liquidity from Uniswap on October 29th, 2020. This means that all liquidity previously deposited on Uniswap has now been moved to LuaSwap V1.0.
No action was required for Liquidity Providers (LP) who staked their Uniswap LP tokens on LuaSwap before the migration. LuaSwap LPs will only need to re-approve the LP tokens contract in LuaSwap before unstaking or staking additional LP tokens on LuaSwap.
All Uniswap LP tokens (UNI-V2 LP token) have been converted to LuaSwap LP tokens (LUA-V1 LP token), representing the exact same share of liquidity in the LuaSwap liquidity pools.
All liquidity is now available on LuaSwap, and all LP/farming steps (add/remove liquidity, stake/unstake LP token, harvest) are to be done on LuaSwap directly. Moreover, anyone can start trading, create liquidity for any new token pair from the existing tokens available, or join the staking pool called LuaSafe to earn more rewards.
Let’s look at all that has been added with this massive update to LuaSwap
Swapping Enabled on LuaSwap
Now users can directly swap tokens on LuaSwap across all current tokens supported.
The swap fee is set at 0.4%, of which 0.05% goes to LuaSafe stakers (more on LuaSafe below), and the remaining 0.35% goes to LPs.
Add/Remove Liquidity on LuaSwap
Liquidity Providers can now add and remove liquidity directly on LuaSwap.
A withdrawal fee of 0.1% is applied when an LP chooses to remove liquidity and exit. This fee is used to encourage long-term LPs and to create a healthier liquidity environment for LuaSwap users.
LuaSafe added to LuaSwap for LUA HODLRs
LuaSafe is LuaSwap’s LUA-specific staking pool, where LUA holders can stake LUA to earn passive income.
LuaSafe income is generated through a portion of fees collected and distributed in the following way:
(1) 0.05% from swap fees across all pairs
(2) 0.1% from withdrawal fees for LPs withdrawing liquidity from liquidity pools
(3) 0.5% from users withdrawing their LUA staked in LuaSafe
Stakers will need to withdraw their xLUA LP tokens in order to receive their original LUA staked plus all LUA income earned through the fees collected in the LuaSafe staking pool.
“CONVERT” button on LuaSafe will trigger reward distribution for the selected pair by calling 2 functions directly to the smart contract LuaMaker, which will perform the following:
(1) Burn collected LP tokens from withdrawal fees and swap fees
(2) Buy LUA at market price and send it into the LuaSafe contract.
The core team will trigger distribution every Monday, generally around noon Singapore time (GMT+8) or earlier if the pair’s collected fee reaches a certain significant amount (equivalent to at least 3,000 LUA after converted). Users do not need to pay any gas fee for the distribution unless they choose to manually trigger the distribution process themselves.
Anyone can trigger distribution at any time by selecting the “CONVERT” buttons. Users need to pay the gas fee for the distribution if they choose to do it themselves.
Users who stake LUA in LuaSafe will receive xLUA LP tokens which represent their proportion of LUA staked. xLUA LP tokens will collect all income generated by LuaSafe. Stakers will need to withdraw their xLUA LP tokens in order to receive their original LUA staked plus all LUA income earned through the fees collected in the LuaSafe staking pool. There is a flat fee of 0.5% levied for all withdrawals. Withdrawals can be done at any time.
We hope you love this update with the introduction of LuaSwap v1.0. There is much more planned in the coming weeks ahead for LuaSwap. Let us know what features you’d like added.
LuaSwap’s core products:
- LuaSwap exchange: An AMM-based decentralized exchange where users can swap tokens and add/remove liquidity.
- LuaSwap information: Analytics, API, and Information for LuaSwap’s liquidity protocol.
- LuaSafe: Stake LUA and earn passive income.
- LuaSwap proposal: A community governance platform where users can use LUA to vote on governance issues.
- LuaSwap Dashboard: (upcoming) One-stop place for liquidity, voting, information management.
- LuaSwap Mobile app: (upcoming)
- LuaSwap’s Multichain: (upcoming)
LuaSwap V1.0’s smart contract:
Join us
- Join us on Telegram at: https://t.me/LuaSwap
- Don’t miss any updates by following us on Twitter: https://twitter.com/LuaSwap
- Join LUA’s forum discussions: https://forum.tomochain.com/c/luaswap/33
