Decentralized Finance is going to be one of the revolutionary step towards decentralization in the coming years. The feel about owning the money and nobody is held accountable but thyself for the money (crypto) that we own. Few years back, this technology of making transaction without any third party involvement was a dream. Blockchain made it happen and as of now it is getting appreciation by those who prefers no interference of third party involvement in financial transaction. So far the reach is limited and it could be implemented in so many ways which could literally change the course of monetary system that we are used to!
In crypto, DEX has made a significant impact. Liquidity is a part of it. Without liquidity there will not be any defi or DEX. Hive has its DEX (powered by HE). Tribaldex has been playing a major role in here. Currently the liquidity is over 6 million. And just during the last 24 hours the volume has crossed over USD 480k. That is indeed quite a lot of progress from where the DEX has started its journey from.
TRIBALDEX
Image source
Liquidity
In my last post here, I discussed about some ways to earn from Splinterlands. It was a very nice experience of mine to share with you all. Likewise, diesel pool has been one of the best feature which I use from time to time. Now here is another simple way to get some passive income from pools and it could be added as a long time investment for a HIVE user. There are pairs which includes liquidity for a dex to operate. Let's say DEC: SwapHive pool. There has to be liquidity in order to swap dec to swap.hive or vice versa. This liquidity needs to be provided by us. Yes, us users, investors and anybody who would like to be a part of it. While doing so we will get a reward for proving this liquidity also known as LP. For more details check here
Diesel pools are the Hive blockchain's equivalent of Uniswap liquidity pools, which allow users to swap one type of token for another instantly and conveniently.
Since we are talking about Splinterlands and its eco system lets move our words to that segment. Currently there are 9 pools where you can provide liquidity and get a handsome amount of APR from them. The liquidity on them is quite great and so far as it seems it is increasing as we speak. People are slowly investing in here as well for some passive income. Which I would like to do as well in the coming days. But as it seems there are indeed few aspects which needs to be kept in mind and I also need liquid assets at my disposal than having to invest them upon here.
Image source
Although, I do recommend to thoroughly understand the concept of pools and how it actually operates before one dive into them. As there are multiple factors which needs to be taken care of before an attempt is made to provide liquidity in here. Few points which needs to be taken care of if you are thinking about providing liquidity
Think long term. As benefits gets made in long term rather than short terms in pools
DYOR
Get to know about IMPERMANENT LOSS
Invest that much which you can afford to loose
I have been a victim of providing liquidity in a specific defi. When defi was at peak level of interest in the past. It does haunts me till now which is why I still am not into any sort of Defi liquidity pools. I am not saying they are not profitable. But for me it was sort of choosing the wrong project and investments made during those moments were out of curiosity and not without any sort of research. So lesson learned and till learning about this vast world.
I am seeing plenty of users who are getting into liquidity pools in tribaldex and they are indeed enjoying their journey and earning some returns made from their investments. It could be easily considered as one of the passive income out in Splinterlands but it does has its risks. I would probably get in when I have substantial amount to keep in here and that even for a long period of time. Till then I will use the DEX service and use the swap for now ;)
Some extra information on my SL journey....
I am just trying to increase my cards and buying packs does really helps. Atleast that what I thought after getting to see other users opening packs and getting some nice juicy cards at their disposal. It was hard for me to resist and hold onto the packs that I purchased While with some of my profits yesterday I opened 5 chaos packs.
SS taken from peakmonsters
I am not really very good in luck which is why I do not open packs, as I clearly know I will not get any good cards in my favor lol. Thus I will just keep the packs and hold onto them from now on!
Best regards
Rehan
If you want to play Splinterlands
Join the game here
Posted Using LeoFinance Beta
The rewards earned on this comment will go directly to the people( @rehan12 ) sharing the post on Twitter as long as they are registered with @poshtoken. Sign up at https://hiveposh.com.
This post has been manually curated by @bhattg from Indiaunited community. Join us on our Discord Server.
Do you know that you can earn a passive income by delegating your Leo power to @india-leo account? We share 100 % of the curation rewards with the delegators.
Please contribute to the community by upvoting this comment and posts made by @indiaunited.
Thanks for the information, i'm interesting in LP as well, but don't quite understand why it needs the pool while transaction happened between user that bid or sell. Need to learn more about this things