Adding liquidity to the Raydium DEX pool for the YOM/USDC pair can benefit token holders in terms of earning fees, and potentially gaining exposure to the price movements of the YOM token.
Here’s a step-by-step guide on how to add liquidity to the YOM/USDC pool on Raydium DEX.
Step 1: Obtain YOM and USDC. To add liquidity to the Raydium DEX pool for YOM/USDC, you will need to have both YOM and USDC in your possession. You can obtain both YOM and USDC by purchasing them on a supported exchange like MEXC (see link) CEX, and USDC can be obtained through various other cryptocurrency exchanges or stablecoin providers. It’s important to have equal YOM and USDC values before adding liquidity.
Link to MEXC YOM/USDT Pair
Step 2: Access Raydium DEX. Once you both have YOM and USDC in your cryptocurrency wallet, you will need to access the Raydium DEX platform. You can do this by visiting the Raydium DEX website (see link) and connecting your cryptocurrency wallet (e.g. Phantom).
Step 3: Click “Add Liquidity”. On the YOM/USDC liquidity pool page, you will first need to insert the amount and press “Max” or “Half”, then scroll down to “Add Liquidity”. Click on this button to initiate the process of adding liquidity to the pool and approve the transaction.
Step 4: Liquidity is added! You can sit back, relax and start earning. It will automatically calculate and display the estimated share of the pool that you will be contributing based on the amounts you enter.
Step 5: Remove liquidity: If you’re done earning fees and want to remove your funds. Click on the most right tab “Remove Liquidity” (see the red arrow), then press “Max” and approve the transaction. You will get your YOM and USDC, and your share of the earnings back in your wallet.
Risks of adding liquidity: As with any decentralized exchange (DEX) and liquidity provision, there are risks associated with adding liquidity to the YOM/USDC pool on Raydium. Some of the potential risks include impermanent loss and price volatility.
Please note that this information is for educational purposes only and should not be considered financial advice. It is important to do your own research and consult a financial advisor before making any investment decisions.