Provide Liquidity

Providing, tracking and withdrawing liquidity from Kriya Liquidity Pools

Liquidity provisioning on a DEX helps ensure low slippage for traders on the platform and in return, the LPs get trading fee. Kriya supports both concentrated liquidity pools as well as traditional uniswap v2 pools with uniform liquidity. A quick guide on adding, tracking, and removing liquidity on Kriya:

How to provide liquidity?

  • Head to the Liquidity Pools Page to view the list of all available pools. You can check the current pool TVL in dollar terms and the current APY estimated based on fee generated from rolling 7D average volume + rewards being added to incentivize the pool.

  • Click the ‘Add’ button next to the pool you want to add liquidity to, and the Add Liquidity side panel will open.

  • Inputting and verifying all the transaction details:

    • For v3 pools, choose the amount of tokens you wish to deposit into the pool. Select the price range within which you want to provide liquidity.

    • For v2 pools, simply select the amount of tokens you wish to deposit into the pool.

  • Sign the transaction and your funds will be added to the pool, allowing you to start generating yield instantly and permissionlessly.

Note: Only liquidity positions that are 'in-range' (for v3 pools) meaning the price range set includes the current spot price earn fees and emissions.

How to track and/or withdraw your LP positions?

  • Head over to Kriya Portfolio to view your current positions and the current dollar value of your holdings including any auto-compounded yield where applicable.

  • Based on the status of your position, you can take the following actions:

    • For v3 pools, you can 'Add' or 'Withdraw' liquidity from your LP positions.

    • For v2 Pools, you can 'Add' or 'Withdraw' liquidity from your LP positions. Additionally, we previously introduced the concept of staked LP positions to incentivize longer deposit durations. Users could lock their liquidity for up to 4 weeks and receive up to 4 times higher reward APY. Although staking and additional rewards for staking have been discontinued, existing staked users can still take these actions manually:

      • Unstake: If your position is staked and the lock duration has expired, you can unstake it.

      • Withdraw: After unstaking, you can withdraw your liquidity from the pool.

  • Verify the values and sign the transaction to withdraw your funds.

This yield is not risk-free however, LPs are counterparty to every trade on the DEX and a sudden price change could cause impermanent loss.

Providing and managing liquidity on Kriya Finance is now more efficient with the introduction of v3 pools. While v2 pools served their purpose well, the focus has shifted to v3 pools to ensure better rewards and more strategic liquidity management.

That’s all folks, it is actually that easy 🙌.

Happy yield farming 🧘‍♂️

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APY Multipliers for v2 Pools (Historical Context)

In the past, we offered boosted yields on v2 pools to incentivize longer deposit durations. Here’s how it worked:

  1. Staked LP Positions: Users could lock their liquidity for up to 4 weeks to receive up to 4 times higher reward APY.

  2. Weight Multiplier: Locked LP positions received a weight multiplier during pool TVL share calculations.

Example Calculation:

Total TVL: $10,000
LP Position Value: $1,000 for both User A and User B
User A: Staked flexibly (Effective Pool Share: $1,000)
User B: Staked for 4 weeks (Effective Pool Share: $4,000)

Rewards Calculation: 
User A Rewards: (1000/13000)*APY
User B Rewards: (4000/13000)*APY

User B Rewards: 4 times higher than User A

Note: Previously, we offered boosted yields on certain v2 pools via $SUI emissions. This feature has now been discontinued, and all rewards are focused on v3 pools.

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