Unique.One is excited to bring the $RARE Family yet another opportunity to earn $RARE by providing liquidity on Balancer.
Liquidity providers can earn trading fee plus $RARE rewards by providing liquidity to the $RARE/WETH pool on Balancer.
What is Balancer?
Balancer is a decentralised exchange that aims to reduce the costs and slippage between trades of different cryptocurrencies. Balancer has no KYC or signups — anonymity and privacy are protected.
All you need to trade on Balancer is a Web3 wallet like Metamask.
Balancer is also a liquidity mining platform and a protocol for multi-token automated market-making (AMM).
What is a Balancer Liquidity Pool?
A Balancer Liquidity pool is sort of like a self-balancing index fund without any of the rebalancing fees usually required of traditional investors. Instead, liquidity providers are rewarded for providing liquidity.
Balancer liquidity pools charge trading fees that are entirely distributed to the pool liquidity providers.
Balancer pools are similar to Uniswap pools except that Balancer allows you to create a pool with custom weights assigned to assets, unlike Uniswap where only a 50–50 ratio is allowed. (Learn more about Uniswap $RARE/ETH Liquidity Mining here.)
The $RARE/WETH Liquidity Pool on Balancer
The value ratio for the Unique.One $RARE/WETH Balancer pool is 90/10 — This means 90% value (USD) of $RARE and 10% value (USD) of WETH.
For example, if you want to add $100 worth of liquidity, you’ll need $90 worth of $RARE and $10 worth of WETH.
While this may sound complicated to configure in terms of the exact token quantity required, Balancer makes it easy.
Simply input the amount of $RARE you want to provide to the liquidity pool on the platform and Balancer will configure the amount of WETH required. (Detailed instructions below.)
How to earn $RARE rewards on Balancer
To qualify for Liquidity Mining rewards, you’re required to stake $RARE and WETH in a 90/10 Balancer Liquidity Pool.
💥Daily $RARE Rewards 1000 $RARE!
💥Snapshots of all LP wallets are taken at a random time once daily.
💥On the basis of percentage share of the liquidity pool held by each wallet, $RARE rewards will accrue for each LP wallet.
💥Rewards are distributed bi-monthly.
How to add liquidity to the $RARE/WETH pool on Balancer
To provide liquidity to the $RARE/WETH balancer pool, you’ll need 3 things:
- Metamask wallet — You can get a Metamask wallet here. You can view a Metamask tutorial here.
- WETH — You can wrap your ETH to get WETH on the Balancer platform, or Uniswap if you like. (To learn more about WETH, go here.)
- $RARE — $RARE is available on Uniswap and BiKi Exchange.
Navigate to the $RARE/WETH Balancer pool and follow the steps below.
- Connect your Metamask wallet.
You’ll notice there is “0” in the deposit amount. This is where you will begin to add liquidity.
2. Enter the amount of $RARE tokens you wish to add and you’ll notice that the amount of WETH required to meet the 90/10 ratio adjusts automatically for you.
3. Next, you’ll create a proxy contract with Balancer. (This is something you only have to do once to add liquidity on Balancer.) Simply click Add Proxy as shown below.
4. Then confirm with your wallet.
5. Now we are ready to unlock the WETH and $RARE to provide liquidity. Each approval is a separate on-chain transaction that you must confirm with your wallet. Click Unlock WETH as shown below.
6. Confirm with your wallet.
7. Click Unlock RARE as shown below.
8. Confirm with your wallet.
9. With both WETH and $RARE unlocked, we can now provide liquidity. Click Add Liquidity as shown below.
10. Confirm with your wallet.
And you’re done!
You can view your liquidity balance and current asset value on the same page.
What are $BAL rewards and how do I get them?
In addition to $RARE rewards, you’ll also earn $BAL rewards for providing $RARE liquidity on Balancer.
Balancer rewards $BAL tokens in proportion to the amount of liquidity each ETH wallet address contributes relative to the total liquidity on Balancer.
Every week 145k $BAL are distributed to liquidity providers as a reward. All liquidity providers are entitled to $BAL rewards.
To claim $BAL rewards as a liquidity provider, go here and input your ETH wallet address.
$BAL tokens for liquidity mining of any given week are available the following Tuesday evening (EST time).
You can read more about Balancer Liquidity Mining here.
Note: As with any crypto investment, Liquidity Mining can expose users to potential risks such as impermanent loss and slippage. Learn more here.
How to purchase $RARE on Uniswap
$RARE Token Contract
Provide Liquidity on Balancer for $RARE rewards
Provide Liquidity on Uniswap for $RARE rewards
Important Security Reminder
The Secret Keys to your Metamask wallet are your responsibility. Make sure you keep them safe and do not share them with anyone. No one can help you if you lose your Secret Keys.
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Originally published at https://www.unique.one on January 21, 2021.