Staking LP Tokens
Last updated
Last updated
In order to participate in Sumero's liquidity mining programs, users must stake their USDC-CLAY liquidity provider (LP) tokens.
The first action a user must take in order to begin participating is to deposit their USDC-CLAY LP tokens into the canonical USDC-CLAY staking contract, effectively temporarily giving custody over their stake in the liquidity pool to this contract. This is necessary because the staking contract needs to be able to guarantee that liquidity cannot be removed from LPs participating in the program.
Once deposited, staked LP tokens immediately start earning Clay rewards. Users may periodically claim accrued Clay rewards while the program is ongoing or claim once the program has concluded to minimize overhead. The reason your LP tokens earn Clay rewards while staked is that you are increasing the USDC and Clay liquidity of the Sumero protocol which enables the protocol to efficiently facilitate trades between USDC and Clay.
Ensure there is sufficient Clay and USDC in your wallet.
Connect your wallet by clicking “Connect Wallet” in the top right corner. We recommend using the Metamask wallet.
Go to the Sumero Pool page.
In the 'Provide' tab, select CLAY from the toggle list of token options.
In the asset field, input the amount of CLAY you would like to deposit into the pool. USDC and the CLAY must be deposited in a 50/50 ratio in order to maintain equilibrium within the pool. In order to simplify this calculation, the corresponding amount of USDC required to open the position will be automatically populated.
When you are finished reviewing the respective pool trading fees, you are ready to submit the transaction. First, you may need to approve the Sumero router contract to allow the protocol to spend both of the selected tokens on your behalf. This is only necessary the first time you provide liquidity for each token. Click “Approve” so that you can deposit your USDC and CLAY tokens. Confirm the transaction in your wallet.
Once this spend approval transaction has been confirmed, click 'Provide Liquidity' to trigger the transaction and sign the corresponding transaction in your wallet.
Once this transaction is confirmed, you will become a liquidity provider for the USDC-CLAY pool on Sumero.
When the USDC-CLAY LP tokens appear in your wallet, navigate to the Stake page.
If you can't see your LP tokens in your wallet, click on the Withdraw tab on the pool page. Then select USDC-CLAY from the toggle list of LP token pairs. Once you have selected USDC-CLAY, click the 'i' button beside the toggle list. Select 'add to metamask' and click 'add token' in your wallet.
On the Stake page, select the 'Options' button located under the USDC-CLAY pool.
Select 'Stake USDC-CLAY'.
In the input field, enter the amount of LP tokens you want to stake.
You will need to approve the Sumero router contract to allow the protocol to spend your LP tokens on your behalf. This is only necessary the first time you stake your LP tokens.
Click “Approve” and sign the transaction in your wallet.
Finally, click "Stake" and sign the transaction in your wallet.
Once this transaction is confirmed, your USDC-CLAY LP tokens will begin earning Clay staking rewards. You will be able to see your contribution on the Stake page.
Users provide liquidity to Sumero's USDC-CLAY pool.
Users receive USDC-CLAY LP tokens in return. These LP tokens represent their portion of the pooled assets.
Users can then stake these USDC-CLAY LP tokens to earn Clay staking rewards.
