Using the Bancor Protocol, hundreds of independent liquidity providers have locked up millions of dollars worth of ERC20 and EOS-based tokens in on-chain liquidity pools known as Bancor Relays. Relays are designed to perform token conversions that also accrue value for liquidity providers.
Each time a Relay processes a conversion, a small liquidity provider fee is taken out of each trade and deposited into the Relay’s reserves. These fees function as an incentive for liquidity providers who can withdraw their proportional share of the reserves including the accumulated fees at any time.
See a list of Bancor Relays & Fees. (Note: This is a static list last updated August 12, 2019. A dynamic list of fees is coming soon.)
Relay Tokens are minted when liquidity is deposited into the system and can be sold at any time to withdraw a proportional share of the Relay's reserves.
Users can buy or sell Relay Tokens using a third-party wallet (e.g., MetaMask, Fortmatic, Ledger, etc.) or using Bancor's native non-custodial wallet (shown below).
As with all token conversions performed on bancor.network, users should pay close attention to slippage warnings prior to executing conversions.
How to Buy a Relay Token using the Bancor Wallet
- Sign in to your Bancor account and click “My Wallet”
- Choose a token to convert in the “My Tokens” menu
- Click the token dropdown menu next to right side of the “Receive” box.
4. Search for a Relay Token and then select it. (Relay Token names are usually formed as: ABCBNT, ABC being the symbol for the desired token you want to contribute liquidity to.)
- Enter how much you want to Pay With and click Next.
- Enter your password, confirm that you are not a US citizen or domiciliary and then click “Convert”.
7. Once you've purchased a Relay Token, you can monitor the price of the Relay Token on its Bancor.Network token page:
For the DAIBNT Relay Token, for example, go here: https://www.bancor.network/token/DAIBNT
You can also monitor the percentage of the Relay you own by viewing the Relay Token contract on Etherscan, clicking on the "Holders" tab and searching for your wallet address. For example, here are holders of the DAIBNT Relay contract.