SnowSwap Olaf’s Pool Liquidity Mining Quick Start Guide (Polygon)
How to add liquidity to QuickSwap to stake in Olaf’s Pool and earn high APR!
In addition to using the liquidity pools to swap tokens, one can also earn SNOW tokens by providing liquidity to the pools, liquidity to the SNOW-USDC pair pool on QuickSwap, or simply staking SNOW tokens for yield. At the time of writing, these different options are offering APYs between 52% and 625%, payable in SNOW tokens.
Note: Yields are not guaranteed and can change daily. Liquidity mining is high risk. This article is not investment advice.
What is the SNOW token?
SNOW is the governance token of the SnowSwap platform. It is a standard Ethereum ERC-20 token. The SnowSwap DAO is currently under development. When it is finished, SNOW token holders will be able to directly participate in governance of the platform, including voting on changes to the protocol, such as changing fees or adding additional tokens and pools, or distributing a portion of fees to SNOW holders.
SnowSwap pays out the yield of staked tokens in SNOW. This SNOW can be withdrawn, harvested and staked for more SNOW, HODLed or sold on the open market.
I just want to get the highest yield, what do I do?
As mentioned, the top performing staking option is to provide liquidity to the SNOW-USDC pair pool on QuickSwap then stake one’s LP coins in Olaf’s Pool.Basically, one must acquire equivalent amounts of USDC and SNOW, and add them to the liquidity pool on QuickSwap. One then receives QuickSwap LP (Liquidity Provider) tokens representing one’s ownership share of the liquidity pool. Finally, one stakes these LP tokens on the SnowSwap platform, under “Stake.”
The rest of this post will focus on how this is done. d
Providing Liquidity on QuickSwap (Deposit SNOW & USDC and receive SNOW-USDC LP tokens)
If you have already provided liquidity on QuickSwap, you can skip parts of this section.
First, a word of caution. When trading on QuickSwap, one has to always ensure they are trading the correct token, and not some scam copy with the same name. The address of the official SNOW token on Polygon is 0x33c9f7c0afe2722cb9e426360c261fb755b4483d. You should verify this is the same address in QuickSwap.
QuickSwap hosts the SNOW-USDC pool which allows anyone to buy and sell SNOW tokens in exchange for USDC:
SNOW-USDC Pair Statistics (QuickSwap)
https://info.quickswap.exchange/pair/0x4f3b8fd5617287d1073cd3275c3d040265624575
SNOW Token Statistics (QuickSwap)
https://info.quickswap.exchange/token/0x33c9f7c0afe2722cb9e426360c261fb755b4483d
Before one can add liquidity, one must possess both SNOW and USDC tokens in one’s wallet. This article assumes that one has already configured a web3 wallet using MetaMask or an alternate web3 browser, acquired MATIC to pay for gas, and transferred it to one’s wallet. If you already have USDC on Ethereum, please see our guide on how to use the Polygon Bridge to Bridge USDC to Polygon. You can also refer to this guide to set up MetaMask on Polygon.
To get SNOW tokens we need to use an exchange such as QuickSwap, Uniswap, or Gate.io.
We can swap some USDC for SNOW right on QuickSwap
The first time you load this page, you might get the following warning screen. Check the token addresses (SNOW is 0x33c9f7c0afe2722cb9e426360c261fb755b4483d and USDC is 0x2791bca1f2de4661ed88a30c99a7a9449aa84174) and select “I understand” and click “Continue.”
Make sure your wallet is connected, select the right direction of the trade, input the desired quantities, and click on Swap. On the confirmation screen, verify the details are correct, then click “Confirm Swap” and wait for the transaction to be confirmed on the blockchain.
After ensuring we have an equivalent amount of USDC and SNOW to stake, we can continue to actually add the liquidity to the SNOW-USDC pool.
SNOW-USDC Add Liquidity (Quickswap)
Navigate to the pool above, select the tokens, enter the quantity to provide, and add the liquidity. Your wallet will then hold QuickSwap SNOW-USDC LP tokens which represent your stake of the pool’s liquidity. We next need to stake these tokens into Olaf’s Pool on SnowSwap.
Note: If you don’t use the above URL directly, you will need to put in the address of the SNOW token manually (0x33c9f7c0afe2722cb9e426360c261fb755b4483d) until it is added to the official QuickSwap list (hopefully soon).
Staking SNOW-USDC LP Tokens on SnowSwap for Massive Yield
After staking on QuickSwap, go back to SnowSwap stake page on Polygon and select Olaf’s Pool. Enter the amount of LP tokens you want to stake (presumably all of them), and click on Deposit. If you want to make future staking transactions faster (and trust the security of our smart contract), you can select the “Infinite approval” option if you like. Authorize the transactions that follow.
Your liquidity tokens are now staked on SnowSwap. Come back to the same screen and check the “Snow Earned” which is updated every block and can be withdrawn at any time. You may wish to periodically harvest your rewards and restake them in Frosty’s Pool, or sell them.
Note: More information about MetaMask is available at https://metamask.io.
