The new Quickswap LP Farm is live!
Hello Wombat Family,
It’s been over three months since our Liquidity Farm on Quickswap started and it has been a tremendous success with over $250k of liquidity staked by the end of the campaign. Today, we’re announcing the launch of the new LP mining farm for the WOMBAT/USDC pair on Quickswap, this time on Quickswap’s protocol version 3.
What’s different?
The new LP Farm on Quickswap v3 is similar to the previous one. However, there are a few tricky differences that, at the same time, make LP mining even more attractive:
- Stakers in the previous farm will have to unstake their tokens and remove liquidity from Quickswap v2
- You’ll need to provide liquidity into the new Quickswap v3 pool
- Instead of receiving LP tokens, in v3 you receive an NFT representing your share of the liquidity pool
- You need to stake your LP NFT into the Quickswap v3 Farm
The advantage of Quickswap v3 is that you have to choose the price range in which you want to provide liquidity; in v2 this is always “the entire range.” This means you can concentrate your liquidity around a certain price level and earn more from fees than across the entire price range.
How does it work now?
If you want to participate in the new LP Farm, you can follow these steps:
- Go to https://quickswap.exchange/#/farm/v3 and find the WOMBAT / USDC Farm from the list
- Click on “Farm”; this will direct you to the liquidity pool in case you don’t have provided liquidity yet and hence don’t own a respective NFT
- Choose the price range in which you want to provide liquidity. Be aware that if the price ends up outside your range, you will not be providing liquidity anymore and therefore not earn fees
- You can play around with the quick selections
- Choose the amount of tokens to stake into the liquidity pools. Be aware that depending on your selected price range the ratio in which you’ll provide tokens may not be 1:1 in USD value
- Approve both WOMBAT and USDC and provide your liquidity by signing the respective transactions
- Then go back to the Farm and stake your liquidity NFT to start earning LP mining rewards in $WOMBAT
Why v3?
While we would’ve been perfectly fine keeping the LP incentives on Quickswap v2, the v3 version of the LP / Swap and Farm protocol offers more flexibility for both us and you as $WOMBAT holders and LP stakers. The future lies in the newer protocol version, so we already decided to migrate.
We will keep our liquidity in the v2 liquidity pool for the time being to ensure enough liquidity in all pools (we haven’t been participating in the previous Farm, anyways). We might migrate at a later point in time.
