Scopuly

Starting with protocol 18 and CAP-38, the Stellar network supports liquidity pools, allowing markets to be automatically created on the network.Hello dear Crypto Community!We are pleased to announce that we have <a href="https://scopuly.com/pools" rel="noopener noreferrer nofollow">released</a> a powerful, simple and convenient interface for managing Stellar liquidity pools. Now in Scopuly you can participate in liquidity pools and earn on AMM.Liquidity pools A liquidity pool is a trading pair of assets with locked funds from liquidity providers that provide liquidity to the pair. When buying or selling a token through a liquidity pool, a trader uses the pool’s blocked funds. Unlike centralized exchanges with limit orders and order book, liquidity pools do not require placing an order and waiting for it to be filled. Trading is carried out by an automatic market maker (AMM).AMMAMM automatically calculates the price of a token in a trading pair by balancing the amount of both tokens in that pair. Pool liquidity is provided by liquidity providers.A list of all liquidity pools on the Stellar network can be found in these explorers: <a href="https://scopuly.com/pools" rel="noopener noreferrer nofollow">Scopuly</a>, <a href="https://stellar.expert/explorer/public/liquidity-pool" rel="noopener noreferrer nofollow">StellarExpert</a>, <a href="https://www.stellarx.com/amm/analytics" rel="noopener noreferrer nofollow">StellarX</a>, <a href="https://amm.lumenswap.io/pools" rel="noopener noreferrer nofollow">Lumenswap</a>, <a href="https://sdexexplorer.com/liquidity-pools" rel="noopener noreferrer nofollow">SdexExplorer</a> and other Stellar block explorers.Liquidity providerIn order for a trader to buy and sell tokens through a pool, there must be liquidity in this pool. It is provided by liquidity providers. Why should they do it? To receive a share of the same 0.3% commission that a trader pays for each transaction in the pool.Adding and Removing Liquidity Adding liquidity is all about providing your own funds to the pool. Thanks to these tools, traders can make transactions, and AMM controls the ratio of coins in the pool and adjusts the price depending on the direction of the transaction (buy or sell).You can add liquidity to an existing pool (eg <a href="https://scopuly.com/pool/feb83f3fe1ab32874787c96211b5c087c1f1ffdbeee6677c6d17b96f36c9b470" rel="noopener noreferrer nofollow">XLM/SCOP pool</a>). When adding liquidity, the coin ratio should always be 50%/50%. This is a basic rule that allows you to keep the proportions of coins in the pool without affecting the price. That is, by adding liquidity, the provider increases the volume of the pool, liquidity, but does not affect the price in any way.Creating a liquidity pool Don’t have a pool you want to add liquidity to? No problem, you can create it, for example, even with your own token and any other coins in the Stellar network.After creating a pool, you can check it in the explorer by the hash of the pool or on the page of all pools (<a href="https://scopuly.com/pools" rel="noopener noreferrer nofollow">scopuly.com/pools</a>), enter the name of the desired token in the search field.For adding liquidity to the pool (together with the creation of the pool), we receive pool tokens. Once a pool is created, any other member of the Stellar network will be able to become a liquidity provider in that pool.When leaving the pool, in addition to our deposited funds, upon withdrawal, we will receive a certain % of commissions equal to our share of the pool ownership, collected by the pool since the provider.Conclusion: the longer you keep liquidity in the pool, the more you earn. the pool is increased by commissions.Since Scopuly is also a powerful block explorer for Stellar, under the charts you can see the entire history of the pool: effects, trades, transactions and operations and explore all this data in the most detailed way.hank you for reading this article to the end!

Stellar Liquidity Pools on Scopuly (AMM)

Scopuly

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