THORChain and Trust Wallet to incentivise TWT liquidity pool on BEPSwap

THORChain and Trust Wallet announce they will be supporting a liquidity program for TWT holders on BEPSwap.

THORChain

10 Nov 2020 — 4 min read

UPDATE: Incentives

33,333 RUNE ($20k) will be directly added to the TWT pool to drive yeild to TWT liquidity providers. The extra RUNE will function to purchase TWT off the wider market (since it changes the pool price) so LPs will end up receiving more RUNE and more TWT after the incentives are added. LPs do not need to do anything extra, since their pool ownership stays constant. This will be done in the next 2–3 days to give LPs time to position their assets.

Summary

THORChain will work with Trust Wallet team to offer users an ability to earn yield on their TWT by providing liquidity into BEPSwap.com.

About BEPSWap

BEPSwap is a “binance chain uniswap” built using THORChain technology.

Liquidity providers can add liquidity (RUNE & TWT, or just TWT) to pools to earn on liquidity fees and incentives.
Traders can arbitrage between pools and Binance DEX in order to capture market inefficiencies and make money.
Users can swap between assets by simply making transactions into the pools.

https://chaosnet.bepswap.com/pool/TWT-8C2

Provide Liquidity

Users can provide liquidity themselves on BEPSwap, but they should be aware the nuances of being a liquidity provider, such as impermanent loss and trade slips.

To add liquidity, simply connect your Trust Wallet via WalletConnect, then go to the liquidity page.

https://chaosnet.bepswap.com/liquidity/TWT-8C2

Users can add TWT or TWT & RUNE if they have both available. If users just add TWT then they will still be exposed to RUNE throughout.

Learn more:

https://docs.thorchain.org/roles/liquidity-providers

Monitoring Yield

All pools earn yield continuously, which comes from liquidity fees and pool rewards every 5 seconds. The more volume and the larger swaps a pool receives, the more it earns. You can read about that here.

Liquidity providers can monitor their position at a community built site: https://runestake.info/home

Here an overview of three different pools for an LP, showing annualised yield.

To look at past performance and explore future performance, the http://www.runedata.info site is useful.

Analysis of 30 days of being in the TST pool.

To also look into other details about the Trust Wallet Token pool, users can monitor live metrics such as fees, rewards, users and volume on the THORChain Network Explorer.

Withdraw Liquidity

24hours after adding liquidity, TWT LPs can withdraw into RUNE and TWT at 50:50, including any earned fees and rewards throughout the time. The only fee to withdraw is a 1 RUNE withdrawal fee to pay for node costs.

Withdrawing Liquidity is simple and fast.

Swap TWT

Users can also swap Trust Wallet Token from any other token supported on BEPSwap. The pool is quite deep, so for a $50 swap, the fee is only 6 basis points (seen below), which is cheaper than any other exchange at that size. Larger swaps will incur larger fees, so just keep an eye on the “slip” metric. These fees are paid into the pools.

https://chaosnet.bepswap.com/swap/BUSD-BD1:TWT-8C2

Trade TWT

Users can also try and trade the pools in order to make a gain. If the pool is trading below the DEX, then buy assets from the pool, then sell on the DEX, and vice versa.

A community build tool can help traders look for trade opportunities:

Conclusion

THORChain will work with Trust Wallet Team to incenvitise liquidity into the TWT with this liquidity program on BEPSwap. Users can easily connect their Trust Wallet tokens to BEPSwap, swap, provide liquidity and even trade.

There are plenty of resources to help users monitor their positions and get started. Reach out to the team with any questions.

$30k of RUNE will be allocated to this campaign to drive engagement from the TWT community. $20k of it will be paid directly into the pool to drive yield to TWT holders.