How to create a liquidity pool for a new token?
To create a liquidity pool for a token pair and list your token on PlasmaSwap, you need to:
- create a pair contract (pool),
- set up an exchange rate, and
- add your initial amount of tokens in the created pool.
- 1.
- 2.Select your token and the pairing token you desire (in this example, we will use ETH and PPAY to create an ETH/PPAY pair). Choose the PlasmaSwap provider in swap settings. If this token pair does not exist, you will see this screen.
3. Select the first option, “Create a trading pair and earn on liquidity mining”. This will take you to the Liquidity Management page.
4. Select both desired tokens. Ensure you also select PlasmaSwap as a provider from the dropdown menu.
5. You now need to determine an exchange rate for tokens in the new pool. A good way to do this is to check the rates on another provider like Uniswap and choose the same rate of tokens in this new pool.
6. Once you’ve set the initial rates and are happy with them, sign the transactions approval of contracts and supply.
7. If successful, you will have created a new trading pair for tokens on PlasmaSwap and are also the first liquidity provider to this pair. You should also see the LP tokens representing your share of the trading pool on your wallet balance.