Create Rewards Program
Now that you've deployed your pool, you're ready to create a rewards program. Before going any further, please note that:
- once you complete this process, rewards will immediately begin paying out to LPs
- parameters including rewards token(s) and vesting period (if any) have been previously set in Create Pool
Given that rewards will begin immediately at the end of this flow, you may want to give your LPs some time to deposit liquidity into your pool before initializing rewards.
To navigate to the rewards modal, press the rectangular
Rewardsbutton on a pool details page where you are an owner or manager.
Step #1: Choose Rewards Program Duration
This is the period of time that rewards will be distributed over. Once initialized, this is irrevocable -- the rewards amount you select in the following step will be paid out over the period. Neither you nor xToken will have the ability to pull your rewards once the program is initiated.
Recommend rewards duration will depend on your pool and your use case. If you're not sure, we recommend erring on the shorter side. Once the period ends, you will be able to initialize a new rewards program of custom length once again, so there is no incentive or pressure to choose a longer period. We've found that somewhere between 8 to 12 weeks is typical for liquidity incentive programs.
Step #2: Choose Rewards Token(s) Amounts
At this point, you set the total amount of rewards token(s) to distribute over the course of the program. For example, if you chose a duration of 10 weeks in Step #1 and you enter 100,000 in Step #2, your program will distribute 10,000 tokens per week to LP.
You must have this token balance in your wallet (plus an additional 1% fee) in order to initiate a rewards program.
Step #3: Initiate Rewards Program
Confirm the details of your program and initiate the program. Once the transaction confirms, rewards will begin being paid out to LPs.
Once your initial rewards program ends, you are able to initiate a new one. You won't be able to initiate a new program until the previous one ends.
For the new program, you'll be able to select a new program duration and new rewards token(s) amounts. However, you are not able to modify which rewards tokens you use and the vesting duration (if any) on those rewards.