How to add/remove liquidity in V3

"Liquidity" is the foundation of the PotatoSwap Exchange's functionality. By staking a pair of tokens on the Liquidity page, you can contribute to a liquidity pool. In exchange for providing liquidity, you will earn a share of the trading fees for that specific pair. This reward comes in the form of an NFT or LP Tokens.

Viewing Liquidity Pools

You can view all liquidity pools by navigating to the pools page: https://v3.potatoswap.finance/pool

You can either click on an available pool directly and add/remove liquidity from that pool, or you can create your own pool.

Adding Liquidity to an Existing Pool

1. After clicking on the USDT0/WOKB pool, you will view the existing liquidity in the pool. Click on the black button on the bottom right to Add Liquidity.

1. After clicking on Add Liquidity, enter the amount of liquidity of each token you'd like to add to the pool, and the fee tier for the pool

2. Click the Add Liquidity button at the end

Removing a Liquidity Pool

1. In order to remove your Liquidity from a Liquidity Pool, go to the My Positions tab and select your existing liquidity position.

1. Then, navigate to the Remove Liquidity section to select how much liquidity you need to be removed.

1. Click on the Remove button to remove your liquidity. If you'd like to remove all liquidity, put this at 100%. Note: The funds will still be in the contract in this time until we click "Collect" button in the next step, as it will be shown in the Unclaimed Fees part

2. Click on "Collect" to completely remove your liquidity:

Creating a Liquidity Pool

1. In order to Create a Liquidity pool, click on the Create Liquidity button at the top right of the Pools page https://v3.potatoswap.finance/pool

2. Choose the token pairs that you would like to include in the pool

3. Set the starting price. This will be the initial exchange rate between the two tokens in your pool. For instance, setting the price to 100000 USDT0 means that 1 xBTC is equivalent to 100,000 USDT0.

1. Select a fee level. This is the percentage that traders will pay in fees for swapping tokens through your pool. A lower fee tier like 0.01% is often attractive for high-frequency trading pairs.

1. Define the price range. You can set a minimum and maximum price for your liquidity. Your assets will only be used for trades that occur within this specified range. This allows for more concentrated liquidity and potentially higher fee earnings. You can adjust the range using the + and - buttons or by inputting the prices directly.

2. Percentage Ranges (5%, 10%, 20%): These buttons create a symmetrical price range around your SET STARTING PRICE. For example, if your starting price is 100,000 USDT0 and you select 20%, the UI will automatically set:

   • A MIN PRICE 20% below your starting price (80,000 USDT0).

   • A MAX PRICE 20% above your starting price (120,000 USDT0).

3. Full Range: This option sets your price range from the lowest possible price (zero) to the absolute highest (infinity). This makes your liquidity position behave like a traditional V2 liquidity pool, where your assets are available across all price points.

4. Enter the deposit amounts. Input the amount for one of the tokens, and the corresponding amount for the other will be calculated automatically based on the starting price and price range you have set.

5. Approve the tokens. You may need to click "Enable" for each token to grant the PotatoSwap smart contract permission to use them. Your connected wallet will prompt you to confirm this action.

6. Create the pool. Once the tokens are enabled, the "Create" button will become active. Click it to proceed.

7. Confirm the transaction. A pop-up will appear in your wallet asking you to confirm the creation of the liquidity pool.

8. After the transaction is confirmed, you will see your new liquidity position on the "My Positions" tab.