MCDEX Liquidity Mining Guide
What is Liquidity Mining?
To put it simply, users can get MCB by providing liquidity to the AMM. Liquidity mining is enabled round by round, named after dynasties in China, starting from XIA. Each round may or may not have different rules, time period and rewards, which is decided by the community after governance voting system is ready ( estimated in the middle of August 2020)
How to participate in liquidity mining？
Steps to provide liquidity on Uniswap
Step 1: Visit this address to open the MCB-ETH liquidity page on Uniswap — https://app.uniswap.org/#/add/0x4e352cf164e64adcbad318c3a1e222e9eba4ce42/ETH
Step 2: Connect your wallet
Step 3: Enter the amount of MCB you want to add to the pool. You will see your share of liquidity in the pool. Click on the Supply button.
Step 4: Review the supply and click on “Confirm Supply”
Step 5: Process the supply in your wallet and wait for the confirmation.
Step 6: Once the transaction is complete, return to the MCB-ETH liquidity page to see your liquidity information under “Fund Pool”.
Following the guide, users will have a 0.5x short leverage in the AMM and an equivalent quantity of long position with leverage the user chooses. At this time, the user is neutral risk exposure. ( As shown in the following picture.)
With continuously trading against AMM, the quantity of short position will change, which leads to the result that the user’s net position will not be 0, which will be positive or negative. At this moment, users can click on the button “ Rebalance” to go back to neutral risks.