Binance Smart Chain: check. On May 3, the HUB token was minted on the BSC network and started trading.
In previous guides, we talked about liquidity pools on Ethereum and Minter. Today, we’ll walk you through trading in HUB and supplying liquidity to the pools on the BSC network, namely via PancakeSwap.
If you’re already familiar with the AMM pool mechanism and have worked with Uniswap before, PancakeSwap should not cause you any trouble.
How to Buy / Sell HUB
For starters, you need to pick a wallet you’re gonna use. In PancakeSwap, you can link a lot of them, just tap Connect in the upper right corner:
I personally prefer MetaMask (desktop) and TrustWallet (mobile). Once connected to the PancakeSwap website, you need to make sure that there’s enough tokens on your balance in order to buy or sell HUB. I’m about to buy 1 HUB for BNB, so I’ll transfer some BNB from Binance to my address in advance.
Let’s now go to the Exchange section:
Specify tokens for swap: BNB and HUB. You can add the HUB token using the address of the smart contract:
To get into swap with the HUB token, you can use the direct link:
Next, you need to enter the number of tokens to buy/sell:
After I’ve entered 1 HUB, the service automatically tells me that I need to spend ≈0.285 BNB. The only thing left to do is press the Swap button to confirm exchange. You can view the transaction in Explorer upon successful swap:
My balance now shows 0.334 BNB and 1 HUB:
Selling HUB is the same. To change the swap direction, click on the arrow in the middle or choose the tokens manually once again.
How to Provide Liquidity into the BNB/HUB Pool
Let me remind you that in order to supply liquidity, you need to hold both tokens in the same proportion (50/50%) at current prices. That’s how AMM pools’ algorithms work.
LPs share a 0.17% fee on all swaps within the pool. The higher the share of pool, the more the liquidity provider makes. Fees for swaps:
After I bought HUB, some BNB still remained on my balance, so I can add both tokens into the liquidity pool. To do that, visit the special interface for adding liquidity:
Choose the desired amounts of HUB and BNB:
0.287 BNB + 1 HUB in my case. The system calculates current prices and my share of pool, which is 1.02%, right away. This means I’ll be getting 1.02% of the fees collected within this pool. What now?
- Click on Approve HUB and pay fee
- Click on Supply and pay fee
Once the transaction was confirmed by the network, I saw my LP tokens right under the liquidity addition form:
To withdraw liquidity from the pool, you need to:
- Go to the list of your pools on this page: https://exchange.pancakeswap.finance/#/pool
- Select the pool you need and press Remove
- Specify how much liquidity you want back (in %)
- Click on Approve and pay fee
- Click on Remove and pay fee
You can view stats here: https://pancakeswap.info/. At the time of writing, it hasn’t synced yet, so this article will be updated once it has.