Whitepaper
  • Welcome to Pairs
  • Risk And Regulatory Disclosures
  • Introduction
    • The Evolution of DEX's in Blockchain
    • Dealing with Current DEX Limitations
  • Pairs
  • Profit Sharing
    • How It All Works
  • Utility of the $Pairs Token
    • Liquidity Mining
  • Batch Protocol
    • Enhancing Efficiency through Consolidation
    • Key Components and Functionality
  • Use Case Scenarios
    • Technical Overview
    • Straight Swap and Cross Chain Bridging
    • Single Asset to Multi Asset Swaps - Same Chain and Cross-Chain
    • Multi Asset to Multi Asset Swaps - Single and Cross-Chain
  • Leveraging Batch Protocol
  • Overview: XP Farming Program
    • Earning XP: Individual Participation
    • Earning XP: Team Formation & Strategy
    • XP Dashboard & Leaderboards
    • XP Distribution Mechanics
    • Earning XP: How It Works
  • Product Roadmap
    • DeFi
    • CeFi
  • Tokenomics
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  1. Utility of the $Pairs Token

Liquidity Mining

Understanding $PAIRS LP: How Liquidity Providers Earn Rewards

What is $PAIRS LP?

$PAIRS LP lets you earn additional $PAIRS tokens by providing liquidity to the platform. Think of it as crypto’s version of earning interest at a bank—your tokens grow simply by supporting the ecosystem.

How Does $PAIRS LP Work?

When you stake your tokens (like ETH/PAIRS or USDT/PAIRS) into a liquidity pool, you receive LP tokens, representing your share in the pool. And when you stake those LP tokens, you can earn yield.

Reward Distribution

Rewards are distributed continuously, per Ethereum block.

  • Year 1 Example:

    • Total rewards: 133,333,333 $PAIRS

    • Daily rewards: ~331,624 $PAIRS

    • Per-block rewards: ~51 $PAIRS

Deflationary Reward Model

Rewards decrease over time, incentivizing early participation and helping increase the value of $PAIRS tokens:

  • Initial Reward Pool: 399,999,999 $PAIRS

  • Reduction Rate: 8.25% every 30 days

  • Duration: 36 reward cycles (~3 years, from 31 Jan 2025 to 31 Dec 2027)

Example of Reward Distribution Over Time

Metric

Period 1 (31 Jan 2025)

Period 36 (31 Dec 2027)

Total $PAIRS Pool

399,999,999 $PAIRS

390,302,797 $PAIRS

Rewards Distributed

9,948,725.77 $PAIRS

19,645,928 $PAIRS

Early Supporter Advantage

Early adopters receive larger rewards due to higher initial rates.

  • Early Example:

    • Month 1: If 100 people stake, they share ~10 million tokens.

    • Later periods: More users join, but fewer tokens are shared per person due to reduced rewards.

Reward Growth Over Time

By Period 36, rewards distributed reach approximately 19.64 million tokens, nearly double from the initial 9.95 million. However, this growth is gradual due to monthly reductions in reward rates.

Sustainable Emission Strategy

Despite regular distributions, the main reward pool shrinks very slowly:

  • Start: ~400 million tokens

  • After 3 years: ~390 million tokens remaining

This slow emission (only ~2.42% distributed in 3 years) maintains long-term value, similar to gradually sharing a large jar of cookies over years rather than consuming quickly.

Time-Based Incentives

Rewards decrease monthly to encourage early participation:

  • Early Participation: Higher token earnings (e.g., 1,000 tokens)

  • Later Participation: Reduced earnings (e.g., 100 tokens)

Joining early maximizes your benefits, though later participants still earn meaningful rewards—just at a lower rate.

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Last updated 2 months ago