Balancer

Overview
Balancer vs. Uniswap
Adding liquidity
Incentives
Overview

A constant mean market maker is a generalization of a constant product market maker, allowing for more than two assets and weights outside of 50/50.

where R is the reserves of each asset, W is the weights of each asset, and k is the constant. In other words, in the absence of fees, constant mean markets ensure that the weighted geometric mean of the reserves remains constant.

Balancer Protocol

system of smart contracts for automated token exchange on Ethereum.

Balancer Exchange

opensource front-end interface for traders and liquidity providers to easily interact with Balancer smart contracts.

Balancer Pool

Exchange contract containing ERC20 pairs.

Liquidity Providers

can be anyone who is able to supply equal values of WETH or any ERC-20 token included in a Balancer exchange contract.

BPool

ERC20 tokens which are minted by LPs from the exchange contract and can be used to withdraw their proportion of the liquidity at any time.

Traders

exchange one asset for another asset.

Arbitrageurs

maintain the price of assets within that portfolio in accordance with the market price in exchange for a profit.

Balancer vs. Uniswap
Comparison by Andrew Kang
Adding liquidity
  1. Connect with your wallet.

  2. Choose which Balancer pool you would like to join.

  3. Enter how much liquidity you would like to add.

  4. Confirm the transaction & you will receive Balancer Pool Tokens which are ERC20 tokens that track your liquidity provided to the protocol.

Note: slippage will increase with larger deposits because your input is being proportionally exchanged to obtain underlying assets required to join the pool with. In order to prevent unnecessary losses due to this price impact, currently the slippage limit is set to 5%. This means that if your exchange transaction experiences greater than 5% difference between the market and estimated price due to trade size, the transaction will revert.

Incentives

Add liquidity to any Balancer pool to receive $BAL rewards.

On Monday, June 1st at 00:00 UTC (i.e. at midnight from Sunday to Monday), Balancer Labs will start considering liquidity held on Balancer protocol for the distribution of governance tokens.

How to get involved. Simply add liquidity to ANY liquidity pool on Balancer and you will automatically start accruing BAL tokens to your wallet. Not all pools receive equal BAL rewards, you can see how these are allocated here.

Add liquidity to JRT based Balancer pools to receive $BAL + $JRT rewards.

Type in 'JRT' to filter out available pools on the invest tab

Add liquidity to 80% AUC - 20% ETH or 80% AUC - 20% USDC Balancer pools to start earning not only $BAL but also $AUC.

  • This incentive will run for 10 weeks, starting July 7.

  • Once you provide liquidity on Balancer, you’ll automatically start accumulating AUC rewards.

  • Each day a snapshot is taken to capture the liquidity contribution of each participant and rewards will be allocated proportionately to liquidity contribution. This is in addition to any BAL rewards or fees generated.

  • Rewards will be sent out on a weekly basis to all wallets with at least 300 AUC to be received.

  • After July 7, you will be able to track your rewards by accessing this same website.

Learn more: https://auctus.org/liquidity-mining/

[DISCONTINUED] Earn BAL + SNX tokens on top of pool returns by providing liquidity to the SNX/USDC pool.