MANTRA Swap

Everything you need to know about MANTRA Swap & Liquidity Pools

Introduction

MANTRA Swap is a permissionless exchange that offers a smooth experience while instantly swapping one token for another. It also includes liquidity pools, where users can provide tokens to boost the ecosystem’s liquidity. A basic front end for MANTRA Swap is maintained on MANTRA Zone.

What is MANTRA Swap?

Users that want to swap their tokens on MANTRA Chain interact with onchain liquidity pools to exchange one token for another. The rate at which the swap is executed is determined by the ratio of the two tokens within the liquidity pool.

What are Liquidity Pools?

Liquidity pools (LP) facilitate the exchange of onchain tokens because within them lies the necessary liquidity. By aggregating value into the pool, you can execute swaps instantly, while liquidity providers add their tokens to the pool.

Liquidity is provided via liquidity pools, which contain a pair of tokens. You can contribute an equivalent amount of both tokens based on the exchange rate of a liquidity pool.

After providing liquidity, you receive LP tokens, which represent your share of the liquidity pool.

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