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Peter
Peter

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How to Provide Liquidity to Astroport's Dual Liquidity Pools

This technical guide covers how to use Astroport DEX, the advanced AMM on the Astroport Cosmos DEX. We will focus on its core innovation: the Astroport Dual Liquidity Pools.

Step 1: Understanding the Dual Pool Model

Astroport is not a one-size-fits-all AMM. It offers two distinct pool types:

Constant Product Pools: The classic x*y=k formula, ideal for volatile and uncorrelated asset pairs.

Stableswap Pools: An optimized curve for tightly correlated assets like stablecoins, offering much lower slippage.

Choosing the right pool for your assets is key to maximizing your Astroport passive income.

Step 2: Connecting and Providing Liquidity

Navigate to the Astroport official platform.

Connect your Cosmos-compatible wallet.

Go to the "Pools" section. You will see both pool types listed.

Select a pool, enter the amount of assets you wish to provide, and confirm the transaction. You will receive LP tokens.

Step 3: Staking LP Tokens for Rewards

To earn rewards, you must stake your newly acquired LP tokens.

Go to the "Stake" tab.

Select your LP token and stake it in the corresponding generator contract.

You are now earning trading fees and ASTRO rewards. For an even deeper dive into the architecture and the xASTRO governance token, see the Full Official Documentation.

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