Providing $PAW Liquidity and Earning Rewards

Empowering Your Crypto Portfolio with $PAW Liquidity Provision

Welcome to the exciting realm of Decentralized Finance (DeFi), where your proactive steps can amplify the potential of your $PAW tokens. Providing liquidity to $PAW Liquidity Pools (LP) on platforms like Uniswap v3 is not just about facilitating trade; it's an opportunity to earn rewards and contribute to the $PAW ecosystem's growth. This guide offers detailed instructions to help you embark on your journey, whether you're a crypto novice or a seasoned investor.

Preparation for Providing $PAW Liquidity

Before diving into the liquidity provision process, some groundwork will enhance your efficiency:

• Start by visiting a specialized Pool Fish link tailored for the $PAW/$ETH pair. This tool helps you calculate the required $PAW and $ETH amounts for your desired LP setup.
• The 'Top Positions' section provides a practical calculator to align with the ranges set by existing LP providers.

Understanding LP Strategies

When considering liquidity provision, it's essential to balance risk and reward:

• Conservative strategies typically involve a higher proportion of $ETH to $PAW, reducing the risk but potentially limiting rewards.
• Aggressive strategies that lean towards $PAW can yield higher rewards but bear the risk of falling 'out of range,' temporarily halting fee accrual.

Steps to Providing $PAW Liquidity

Whether starting from the $PAW Staking Platform or directly on Uniswap, the process is nearly identical:

1. Initiating LP Provision:
2. On the $PAW Staking Platform, select the "Pawswap LP token - Uniswap v3" option, leading to a redirect to Uniswap.
3. Alternatively, begin directly on Uniswap by selecting 'New Position' in the pools section.
4. Setting Up on Uniswap:
5. Choose the PawSwap ($PAW) and $ETH pair, ensuring the 1% fee tier is selected.
6. Determine your price range. A 'full range' setup requires a roughly equal $PAW/$ETH ratio.
7. Consider the APR implications and use the LP calculator to decide your preferred range.
8. Minting Your LP:
9. After setting your price range and values, proceed with the LP minting process, keeping in mind the necessary gas fees.

Staking Your LP on the $PAW Platform:

• Locate the 'Pawswap LP token - Uniswap v3' stake option and input the LP/NFT ID#.
• Be prepared for the gas requirements during this transaction.

Managing Out-of-Range Scenarios:

• Should your LP fall 'out of range,' it may require adjustment, possibly necessitating additional $PAW or $ETH.
• Re-minting the LP involves similar steps but with an adjusted token ratio.

Collecting LP Reward Fees:

• To collect accrued fees, unstake your LPs first and then interact with the Uniswap pool website/app to transfer fees to your connected wallet.