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Polkadex + Hummingbot Liquidity Mining Campaign

More earning possibilities for PDEX holders on KuCoin

Polkadex has partnered with Hummingbot.io on a three-month long liquidity mining campaign that will reward PDEX traders on KuCoin! In addition to staking, this is a new opportunity for PDEX holders and traders to earn while using KuCoin.

What is Hummingbot?

Hummingbot.io is open-source software that lets you build and run customizable trading strategies. It helps cryptocurrency users build their own market-making bots and automate their trading on centralized exchanges.

The Hummingbot Miner app lets users earn liquidity mining rewards while they run a market-making bot. Hummingbot Miner makes liquidity mining a non-custodial, community-led, and takes a data-driven approach to market-making.

What is liquidity mining?

Liquidity mining has been popularized by decentralized exchanges as a tool that allows the exchange and its different liquidity pools to remain as liquid and efficient as possible. It incentivizes protocol participants to provide liquidity to exchanges in return for token rewards. As it is easy to see the proof of liquidity on-chain, liquidity mining is relatively easy to implement on DEXes.

What is liquidity mining on Hummingbot?

Hummingbot makes it easier to implement liquidity mining on orderbook-based exchanges as it works with exchanges to take snap-shots of orderbooks as proof of provided liquidity. It then rewards participants based on the spread and size of the orders they place. The larger the order, or the tighter the spread, the larger your proportion of the reward pool becomes.

In this case, liquidity mining allows token issuers to see proof of the liquidity of their token and also to source liquidity from the community. How? Hummingbot uses API keys to track usage across the exchange and automate trades based on users’ preferred trading strategies. The video below made by the Hummingbot team is a great explainer of exactly how liquidity mining works on Hummingbot and how users can get started:

How can you benefit from the PDEX liquidity mining campaign with Hummingbot?

PDEX holders can now earn rewards for providing PDEX liquidity to KuCoin. Many PDEX holders are already using KuCoin to trade our native token and others so it is easy for them to start earning liquidity mining rewards without too many extra steps.

Campaign Details

  • Start date: August 10, 2021 12:00am UTC (live now!)
  • Duration: 12 weeks
  • Total reward pool: USDT 15,000 (USDT 1,250/week)
  • Eligible orders: maker orders placed with a spread of 2% or lower
  • Exchange: KuCoin

Eligible token pairs and weekly rewards

How can you get started?

Hummingbot also has put together this helpful guide to make set-up as easy as possible:

Do you have any questions about Hummingbot, how the rewards are calculated, or how the payout works? Check out Hummingbot Miner’s detailed docs.

If you still have a question or need anything cleared up, let us know!

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⛓Cutting edge orderbook based DEX built on Substrate 📲 www.polkadex.trade

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