Binance Liquid Swap
Are you wondering how you can use Binance Liquid Swap and boost your Crypto by earning BNB? Read our Binance Liquid Swap tutorial, learn everything there is to know about it, and why this is yet another great feature provided by Binance!
Ever since its launch, Binance Liquid Swap quickly became one of the most popular Earn products in the Binance portfolio. Over 20,000 users and traders benefit from its low fees, a wide range of supported assets, and instantaneous transactions while earning passive income on their cryptocurrency assets.
What is Binance Liquid Swap?
Liquid Swap is a liquidity pool developed based on the AMM (Automatic Market Maker) principle. It consists of different liquidity pools, and each liquidity pool contains two digital tokens or fiat assets.
You can provide liquidity in the pools to become a liquidity provider and earn transaction fees and flexible interest.
You can also easily swap two digital tokens or fiat assets in the liquidity pools.
Why Earn BNB?
Since the beginning of 2021, the BNB price skyrocketed from $37 to as much as $342. With BNB liquidity rewards, you can generate passive income in BNB and also capitalize on the price growth, further boosting your earnings.
Why use Liquid Swap?
Since December 2020, Liquid Swap has distributed over 11,570,000 USDT in rewards, paying millions to users. With 20+ tokens and 50+ pools to choose from, users get to choose how they want to earn. In the two months since Binance introduced enhanced BNB rewards in Liquid Swap 3.0, it has already distributed ~25,640 BNB, with 33+ BNB distributed every minute. That’s right, Binance has paid the equivalent of 8,680,000+ USDT to users at the time of writing.
Here are a few reasons why you should also use it:
- Everyday low fees for Swap function: Fewer transaction fees, zero gas fees, and zero management fees. Liquid Swap users pay just 0.06%~0.1% fees for each transaction. So, the next time you make a $1,000 transaction, pay less or up to $1 in fees. In addition, there are no gas or admin fees.
- Low Slippage for Swap users: Get what you trade for, with real-time rates when you swap tokens. In fact, most transactions have 0% slippage due to improved liquidity boosts.
- Safe and Secure as a Liquidity provider (LP): Liquid Swap offers stable and attractive rewards in BNB.
- Liquid Swap has large pools including BNB, BTC, stablecoins, and altcoin pairs: Unlike the majority of DeFi farming platforms that mainly. focus on ETH pairs
- No DeFi wallet needed: All you need is your Binance account
Is Liquid Swap Safe?
The Binance Sentry Team, a security team consisting of cybersecurity specialists and white hat hackers, keeps an overwatch on all funds circulating in Binance Liquid Swap. With Binance's security algorithms, the latest security standards and hardware provide real-time protection against cyber attacks such as DNS hijacking.
Finally, Binance SAFU, the Secure Asset Fund for Users, is an emergency insurance fund where Binance started allocating 10% of all received fees since July 2018. This fund offers protection to Binance users and their funds in extreme cases and works like insurance. This fund is stored in a separate cold wallet protected by extreme security measurements.
How to use Liquid Swap?
Becoming a Liquidity Provider:
1. Log in to your Binance account and click [Finance] - [Liquid Swap] to enter Binance Liquid Swap.
2. Click [Liquidity] to enter the liquidity page.
4. Click [Add] on the Liquidity box, select the desired liquidity pool, choose your pool type (dual token or single token).
1. If you choose to add liquidity to a dual token pool, enter the amount for the first token and the system will automatically display the amount required for the second token. Please note that the final amount of the second token is determined by the token price at the time of your order.
2. If you choose to add liquidity to a single token pool, the system will automatically convert it into the corresponding pool token proportionally. Please note that the corresponding transaction fee will incur during the conversion process.
1. Log in to Binance.com, click [Finance]-[Liquid Swap] and enter the homepage of Liquid Swap.
2. Click [My Share], you will enter the page to view your share.
3. Click [Claim]
4. Confirm your rewards and click [Claim Rewards].
* Your rewards have been transferred to your Spot account.
1. Yield-farming and trading fee rewards are updated every hour. Users can click [Claim] to claim the earned tokens to the spot wallet at any time.
2. Users’ hourly yield-farming rewards = Pool share ratio * The total hourly yield-farming rewards in the liquidity pools.
3. Users’ hourly trading fee rewards = Pool share ratio * The total hourly trading fee rewards in the liquidity pools.
Binance Liquid Swap: Advantages
Here's a quick recap of some of the advantages you should keep in mind when considering Binance Liquid Swap:
- Best place to farm BNB
- High-quality token pairs
- Yield farming without setting up Defi wallet
- Zero gas fees when add/redeem
- Fast: instant redemption
Binance Liquid Swap: Conclusion
Are you still wondering whether or not you should use Binance Liquid Swap? Take the two examples below!
John would like to get some BNB but he is a conservative investor/trader and likes to keep a large portion of this portfolio in stable coins, Satoshi will explain why Liquid Swap is a great option for John to earn some BNB.
Satoshi: Did you know that BNB was $20 a year ago and today it’s $350?
John: Oh that’s cool! How can I get BNBs, I currently only have stable coins?
Satoshi: You can always go to Binance and trade. However, there’s another way by farming BNBs through Binance’s Liquid Swap. Simply add your stable coins to the Liquid Swap pool and you earn BNB rewards
Now let's take Peter's example, he's a general DeFi user who prefers high-yield pools and/or no gas fees, Nakamoto will explain why Liquid Swap is a great option for Peter to earn some BNB.
Peter: Gas fees for ETH are a headache in this DeFi platform. Any chance you know where I can do yield farming without any fees?
Nakamoto: Have you heard about Binance Liquid Swap? I'm doing yield farming without any fees while also earnings BNBs
Peter: Wow, I need to check that out and diversify my portfolio over there.
So, whether you're like John, or whether you're like Peter, you should probably check out Binance Liquid Swap, simply follow the link below and start earning like them today!
If you'd like to sign up for Binance and get a 20% discount on trading fees, you can do so by inserting our Binance Referral Code STWNRF0Q during the sign-up process.