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RE: Investing in Splinterlands Through TribalDEX [ESP/ENG]

in LeoFinance2 years ago

I thought that if you are providing liquidity with 680 DEC, you will need 680SPS too. Why are you using 10 SPS? Or I'm I getting it all wrong? Please explain.

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The relationship is defined by the price of each currency. Since SPS has more value than DEC, less SPS is needed for each DEC and vice versa, more DEC for each SPS. This is so, since they must be added in a proportion of 50% of each coin.

For example, if coin A has a value of $2 and coin B has a value of $1, you need two coins B, to cover the value of the coin A, which is $2. I hope I have clarified this question a bit. Thanks for the inquiry @edystringz .

The relationship is defined by the price of each currency. As the SPS has more value than DEC, less SPS is needed for each DEC and vice versa, more DEC for each SPS. This is so, since they must be added in a proportion of 50% of each coin.

For example, if coin A has a value of $2 and coin B has a value of $1, you need two coins B, to cover the value of the coin A, which is $2. I hope I have clarified this question a bit. Thanks for the inquiry @edystringz .

As SPS and DEC are not 1to1 in value, it will calculate the DEC equivilant of the SPS for you automatically that is needed in order that you have a 50:50 holding in the pool.

The best thing to do is to try to use the pool yourself for a few months with a very small stake so you learn how the process is working.