This guide explains how to add liquidity to a Bancor liquidity pool using 1inch.exchange.
When you add liquidity to a Bancor pool, you’ll receive “pool tokens” in return, representing a pro-rata share of fees generated by the pool. Fees are generated each time the pool processes a conversion. As a liquidity provider, you may withdraw the accumulated liquidity from a pool at any time by selling your pool tokens.
Here’s how to add to add liquidity on 1.inch:
1. Go to: https://1inch.exchange/#/lending
2. Connect your wallet in order to proceed
- Click the “connect wallet” button on the top left corner
- Select your wallet (in this guide, we will be using MetaMask)
- Confirm the “connect request”
3. Now that you have connected your wallet, you can proceed with adding liquidity to any Bancor liquidity pool.
4. In the “Filter for Tokens”, click and type the token liquidity pool you’d like to fund (we’ve selected the SAI pool for this example)
5. Immediately you will be able to information about the SAI:BNT pool:
- Token Supply - indicates the total minted tokens for this pool
- Pool Fee - indicates the fee that will be collected from every conversion processed by this pool. Meaning, any conversion that requires a conversion between SAI <-> BNT will generate a fee in the pool.
6. Click the + icon in order to trigger the transaction that will fund the pool
7. You will now see the setup popup. Here you will indicate how many pool tokens you’d like to mint:
8. Note that if you do not have enough tokens in your wallet, you will see this indication next to the relevant token that is required.
9. Note that if you didn’t give the contract allowance, you will see the lock indication next to the token. You can click on the lock to confirm allowance, or funding and the allowance transactions will be included in the pool process.
10. Approve allowance for both tokens that are required
11. Now that the lock symbol is gone, you can proceed with the transaction
12. Click “fund” to see the transaction in MetaMask
13. Confirm the transaction
14. That’s it! You now own a piece of the pool. To track the performance of your holdings, you can check the Etherscan transaction or the ZumZoom ROI interface.