Linkswap Liquidity Reaches $7 Million on First Day of Farming

Linkswap, one of the latest decentralized finance automated market makers, has accrued almost $7 million in crypto collateral in its first 24 hours of liquidity farming.

The Linkswap AMM was launched in late November as a rival to Uniswap for the Chainlink community. The new DeFi DEX promised big returns for ‘LINK Marines’ as the enthusiastic community calls themselves.

On Dec. 7, Linkswap launched its first liquidity farming pools and within 24 hours there has been more than $6.85 million in collateral deposited across the ten pools.

According to the YF Link Twitter feed, the DEX itself now has over $10 million in total value locked;

YFL Pools Popular

The most popular two liquidity pools according to the Linkswap dApp are YFL/wETH and YFL/LINK, each containing over $2 million in collateral and collectively representing 60% of the total.

These two pools deliver the best rewards in YFL, which is likely why they have garnered the most liquidity. There are eight other pools with more obscure tokens such as the DeFi Pulse Index (DPI), MASQ, CEL, GSWAP, and YAX, though these offer lower rewards.

According to the announcement, Linkswap will only be awarding YFL to users for the first 24 hours, which has now expired. Following this, farmers must re-stake their liquidity pool tokens to gain access to rewards in other altcoins. Staking will last for a total of eight weeks and token rewards will be split linearly to farmers on a daily basis.

Unlike Uniswap, which allows anyone to list tokens, Linkswap charges small listing fees to projects that want to participate on the DEX. The fees are then distributed to YFL holders who stake their YFL in the governance vault.

The DEX also has a ‘Rug Lock’ feature which enables the protocol to lock initial liquidity to protect investors and shows that projects listing tokens are serious about their longevity. Additionally, a ‘Slip Lock’ feature acts as a circuit breaker to help fight against vampire bots feeding off high slippage.

YFL Price Update

Linkswap’s native token, YF Link (YFL), has retreated 7% on the day in a fall back below $540.

Like most brand new DeFi tokens, there was a FOMO-driven spike just after the protocol launched, but it has been mostly declining since.

YFL surged to over $1,160 on Nov. 24 but has slipped 53% from that all-time high to current levels despite the recent launch of liquidity pools on the exchange. Meanwhile, Chainlink’s LINK token has been stuck at the support/resistance level near $13.

The post Linkswap Liquidity Reaches $7 Million on First Day of Farming appeared first on BeInCrypto.

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