How do I get started?
Want to participate in the Liquidity Book Rewards Program but not quite sure how to get started? Follow these simple steps below, or dive down further for a more thorough walkthrough.
Detailed Walkthrough
1️⃣ First Step
Navigate to the Pool page and search for Liquidity Pools identified by a 'Rewards' label.
Move your cursor over the 'Rewards' label to reveal details about the current live Epoch, including the reward allocation for that specific pool.
Each 'Rewards' label represents a different Liquidity Pool offering rewards. You have the flexibility to contribute to one or multiple pools, depending on your level of engagement preference.
Although you can join a pool at any time during the Epoch, starting early is beneficial. Early participation extends your earning period, which can significantly improve your standing on the Leaderboard. For more insights on optimizing your strategy, proceed with our guide.
2️⃣ Second Step
After selecting one or more markets to provide liquidity for, you can proceed to deposit your assets. The process is straightforward and involves just a few clicks, but it requires you to make several important choices.
Determine the amount of liquidity to supply:
You have the flexibility to choose any amount and ratio, such as 1 ETH to 500 USDC or the reverse—1000 USDC to 0.5 ETH.
Choose your liquidity profile from three options:
Spot: Distributes your liquidity evenly across your chosen range.
Curve: Concentrates your liquidity towards the center of your range.
Bid-Ask: Concentrates liquidity more towards the edges, opposite of the curve option.
Set your Liquidity Range:
Use the sliders to adjust your range conveniently. Or, manually enter your desired price range for precise control over your deployment.
Once you’ve made these decisions, the UI will present a simulation of your liquidity distribution. If you’re satisfied with the setup, you're ready to deploy your liquidity.
For more information about the types of strategies you can deploy on Liquidity Book you can view this page
3️⃣ Final Step
Once you have provided liquidity, you will start to earn fees providing your liquidity is in range. You'll know your liquidity is in range as the "My Liquidity" graph in the top left will indicate that you are in range. The aim is to earn as much fees as possible, so you can climb the ranks of the Leaderboard. To unlock rewards, you'll need to make sure you are positioned inside the Leaderboard. If you are not visible on the Leaderboard, you'll not be eligible for rewards.
All ranking is final by total fees accrued, so the more fees you earn the higher your position relative to others and the more rewards you will unlock.
Questions
Can I exit a pool and then re-enter at a later date?
Yes, your entire contribution over the Epoch duration is tracked, so you can enter and exit any number of times. Everything is linked and tracked to the wallet you use.
Can I participate in multiple Liquidity Pools at the same time?
There is no limit to how many pools you participate in, each pool is tracked independently.
When will I receive my rewards?
Rewards are distributed in the following days after the Epoch. They are distributed and collected directly from the 'Rewards' tab where you can claim the rewards at any time. They are typically vested over a duration of 7 days.
More for help about the Liquidity Book Rewards program you can view this article or join the Trader Joe Discord.