WOO rewards to increase liquidity on Uniswap
As Uniswap market dominance continues, WOO token incentives will be moved from the current WOO/ETH Balancer Pool over to Uniswap
- WOO rewards will continue on the WOO/ETH and WOO/USDC Uniswap Pools and will increase to 100,000 WOO per month from the current 60,000 WOO
- WOO rewards will be split based on total liquidity among the USDC and ETH pools
- An incentive to cover the gas cost will be given out to the existing stakers coming from the Balancer Pool
- Liquidity will be in the Uniswap Pool by Feb 10, 2021, 11:59 GMT
- A tutorial is given at the end of the article for those unfamiliar with DeFi applications
- Wootrade have also added liquidity on both ETH/WOO and WOO/USDC pairs on Uniswap
When decentralized markets lack liquidity, high slippage will impact a trader’s ability to buy or sell tokens at a fair market price. Liquidity providers can remedy this by adding more of their own assets to the pools, building a more robust trading experience. To support traders in the DeFi space, Wootrade will incentivize liquidity providers by providing weekly rewards in the form of bonus WOO tokens.
The Wootrade team has also added liquidity of their own on both ETH/WOO and WOO/USDC pairs on Uniswap. These accounts will not be included in the prize pool:
- We will be stopping the Balancer Liquidity Program and moving over rewards to Uniswap WOO/ETH and WOO/USDC pools
- The total rewards pool will increase to 100,000 WOO per month
- Rewards will be moved over to the WOO/ETH and WOO/USDC pool on Uniswap and split evenly among the pools based on the total liquidity provided
- Feb 10, 2021, Wednesday will be the last day that WOO rewards will be sent out to the Balancer Pool
- Liquidity will be moved over to the Uniswap pool by the following Wednesday, Feb 17, 2021, 11:59 GMT
- Any liquidity in the Uniswap pool by Feb 17 will be counted as having liquidity in the Uniswap pool for a full week and will be given full rewards
- An incentive will be paid out to accounts from Balancer moving over to Uniswap to help cover the gas cost up to a maximum of $75
- We will be tracking accounts on-chain so please use the account you used to stake on Balancer to stake on ETH
- Reimbursement for transferring will be paid in WOO tokens
- Wootrade’s own LP accounts will not be included in the prize pool, these are:
Providing liquidity on Uniswap: walkthrough
1. Pick a WOO pool you want to contribute liquidity to:
Uniswap WOO/ETH Pool: https://app.uniswap.org/#/add/0x4691937a7508860f876c9c0a2a617e7d9e945d4b/ETH
2. Connect your wallet to Uniswap:
3. Once your wallet is connected, add in your desired amount of WOO and ETH or USDC and click “Approve WOO” and sign the transaction on your wallet. Note: You may also need to approve ETH and USDC if this is your first time contributing liquidity
4. Once the tokens to be deposited are approved, click supply and sign the transaction on your wallet. Then just wait for the transaction to be mined.
As with our Balancer rewards, tokens will be distributed on a weekly basis on Wednesday every week, with 3 snapshots taken randomly throughout the week.
- Uniswap still gets lion’s share of DEX volume at $1,020,715,933m 24hr volume (35.8% of DEX volume) vs Balancer at $49,048,016 (1.7% of DEX volume)
- Uniswap is substantially more popular than Balancer and is integrated with more dApps and dashboards
- It is easier to find the WOO token on Uniswap since WOO is included in the Coingecko tokenlist. With Balancer, you have to manually enter the WOO token address and this complicates things
- Uniswap has easier staking mechanics, not requiring a separate conversion to wETH to stake or buy WOO since conversion is done automatically
- Staking tokens on DEXs like Uniswap incurs a few inherent risks, such as smart contract exploits and impermanent loss. Please educate yourself on these topics before putting assets into a smart contract.