Liquidity

BORGSWAP pools allow you to provide liquidity by adding your tokens to liquidity pools or “LPs”.

When you add your token to a liquidity pool (LP), you will receive BORG-LP tokens (BORGSWAP’s version of liquidity provider tokens).

As an example, if you deposited KLING and an equal amount of BNB into a liquidity pool, you would receive KLING-BNB BORG-LP tokens.

The number of BORG-LP tokens you receive represents your portion of the KLING-BNB liquidity pool. You can also redeem your funds at any time by removing your liquidity.

Providing liquidity is not without risk, as you may be exposed to impermanent loss. Read about impermanent loss HERE.

Users do earn fees on all trades plus have the opportunity to yield gains in the yield farms.