YGG to Distribute 3.6 Million Tokens to Liquidity Providers on Ronin – BitRss

Starting February 12, Yield Guild Games (YGG) will allocate 20,000 YGG tokens daily to holders participating in the YGG-RON liquidity pool on the Ronin decentralized exchange, Katana. This initiative is part of a broader strategy to enhance token utility within the YGG ecosystem.

YGG has committed a total of 3.6 million YGG tokens over 180 days as rewards for providing liquidity to the Ronin network. This program is designed to offer YGG token holders more opportunities to utilize their holdings, complementing recent updates to the Guild Advancement Program (GAP), such as the Rewards Center and The Stake House.

Enhancing Community Engagement

According to YGG co-founder Gabby Dizon, the community is central to YGG’s operations. Dizon stated, “This is why we’ve worked hard to provide our community with the best opportunities in Web3 gaming.” The new liquidity pool rewards program aims to give active players additional ways to leverage their YGG tokens while supporting the broader community.

The Ronin network, known for hosting popular games like Axie Infinity and Ragnarok: Monster World, has become a hub for the YGG community. The familiarity with swapping between YGG and in-game tokens via Ronin’s Katana makes it an ideal platform for this rewards initiative.

Participating in the YGG-RON Liquidity Pool

The YGG-RON liquidity farming rewards program will commence just before GAP Season 9, allowing participants to enhance their YGG and RON rewards. Token swaps on decentralized exchanges like Katana are facilitated through liquidity pools, which are shared pools of tokens contributed by community members.

Liquidity providers receive a percentage of the trading fees generated by the pool, proportional to their contribution. The 20,000 YGG tokens distributed daily will be allocated similarly. Participants can visit the Liquidity Pool section of Katana to learn more about the process.

It is important to note that participating in a liquidity pool requires an understanding of DeFi and Web3, as it involves risks such as impermanent loss. Potential participants are advised to conduct thorough research and exercise caution before joining the YGG-RON LP farming rewards program.

For more information, the full announcement can be read here.

Why This Matters: Impact, Industry Trends & Expert Insights

Yield Guild Games (YGG) is set to distribute 3.6 million YGG tokens to liquidity providers on the Ronin network, as part of a strategy to enhance token utility and community engagement. This initiative aims to provide YGG token holders with additional opportunities to leverage their holdings within the ecosystem.

Recent industry reports indicate a significant focus on liquidity mining and token distribution in the crypto market, with over $3.13 billion in tokens set to enter circulation. This aligns with YGG’s token distribution strategy, potentially impacting liquidity and price trends within the ecosystem.

As per insights from WL Global Solutions, liquidity providers play a crucial role in maintaining market stability by ensuring that assets can be bought and sold easily. This supports YGG’s initiative to incentivize liquidity providers, which can enhance market efficiency and reduce price volatility within the Ronin network.

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