🌌🥚How To Add/Remove Liquidity🥚🌌
What is Liquidity?
CosmicEgg is an automatic LP token. This means that users can provide liquidity, or commit an amount of a token pair such as: CEGG-BNB or CEGG-BUSD to recieve CEGG tokens.
PancakeSwap pools allows people to provide liquidity by adding their tokens to liquidity pools.
When a person adds their tokens to a liquidity pool, they will in turn, receive Liquidity Pool (LP) tokens.
The lowest value (in USD) of the two tokens in a wallet will be the limit to the liquidity one can provide. People can easily swap any tokens they need on PancakeSwap.
In this example, we will add liquidity using BNB and CEGG.
1. Click this link to the PancakeSwap Liquidity page, or paste this url into your search bar: https://exchange.pancakeswap.finance/#/add/BNB/0xda8357f539A66B12e4c5F73485630352D140E585 (skip to Step 5 if you paste it!)
2. Click the Add Liquidity button.
3. For the top Input, leave BNB as it is.
4. For the bottom input, click ‘Select a currency’ and paste CEGG contract address: 0xda8357f539a66b12e4c5f73485630352d140e585.
5. Enter an amount on one of the tokens under “Input”. The other will calculate automatically. (If your balance is too low on one pair enter a lower amount.)
6. Click the Approve CEGG button. Your wallet will ask you to confirm the action.
7. The Supply button will light up. Click this!
8. A window will appear saying how much you will receive. Click the Confirm Supply button. Your wallet will ask you to confirm the action.
9. After a short wait you will see your LP Token balance at the bottom of the page. You can repeat the steps above to add more liquidity at any time.
To remove liquidity:
- Visit the Liquidity page.
- Click on your pair under “Your Liquidity”.
- Click Remove. A new window will appear.
- Use the buttons or slider to choose what percent to remove. Choose MAX to remove everything.
- Click Approve. Your wallet will ask you to confirm the action.
- The Remove button will light up. Click it.
- A window will appear saying what you will receive. Click Confirm. Your wallet will ask you to confirm the action.
- After a short wait you will see your new LP Token balance at the bottom of the page.
Providing liquidity is not without risk, as you may be exposed to impermanent loss.
Please click here to learn more about impermanent loss: “Simply put, impermanent loss is the difference between holding tokens in an AMM and holding them in your wallet.” — Nate Hindman