How to Make 300% APY Providing Liquidity on Domination Finance

How to Make 300% APY Providing Liquidity on Domination Finance

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How to Make 300% APY Providing Liquidity on Domination Finance

There are so many options for providing liquidity to decentralized finance protocols these days. One that is offering better than regular market returns is Domination Finance.

Domination Finance is a decentralized exchange (DEX) deployed on the Ethereum, Polygon, and Boba networks. Furthermore, its app enables users to speculate on different market metrics such as Bitcoin Dominance (BTCDOM).

However, one of the more popular activities on the DEX is liquidity provision. Earlier this month, the protocol tweeted that an impressive 300% annual percentage yield was available. To get this juicy return, users can provide liquidity in USDC to the Ethereum dominance pool on the Boba network.

Juicy 300%+ APR on USDC by LP’ing $ETHDOM on @bobanetwork

Add liquidity today on https://t.co/wktuXBnEsF and expect your $BOBA WAGMIv2 airdrop in early May! 💸 pic.twitter.com/b0Jy9QHzTh

— Domination Finance (@dominationfi) April 7, 2022

In this guide, we will show you how to add liquidity to Domination Finance.

How to Provide Liquidity to Domination Finance

Adding liquidity to the DeFi protocol is relatively straightforward. However, you will need to have some USDC in your crypto wallet before you begin.

  1. Firstly, you need to navigate to the platform and select the Boba Network from the dropdown.
  2. The second stage is to connect your crypto wallet, usually MetaMask.
  3. Then you will need to change the pool from BTC dominance to ETH dominance.
  4. Once this is done, you can go ahead and click the yellow liquidity button at the bottom and select deposit.
  5. The USDC you supply will be used to mint and pool an equal number of ETHDOM and invETHDOM tokens.
  6. A single asset can be deposited, and there is no need to add a pair. However, the option is available.

The actual yield will vary depending on the amount of collateral in the pool. Additionally, providing liquidity can result in impermanent losses.

At the time of writing, Oolongswap reported that there was $182 million in collateral for the Ethereum dominance pool. Ethereum’s actual market dominance was around 18.8%.

The team also stated that liquidity providers will be eligible for a $BOBA WAGMIv2 airdrop in early May.

BOBA Price Outlook

Boba Network tokens have taken a hit on the day. As a result, BOBA was trading down 7.6% at the time of writing, according to CoinGecko.

The token was changing hands for $1.41 but it has gained 30% over the past month. Furthermore, BOBA is currently down 82% from its November all-time high of $7.93.

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