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This content is for educational purposes only and does not constitute financial advice. Always do your own research before making any liquidity provision decisions.
CaviarNine offers some of the most comprehensive liquidity provision opportunities on Radix, featuring multiple ways to earn Activity Points in the Radix Rewards Campaign. With exclusive features like LSULP and HyperStaking, plus professional-grade Shape Liquidity, CaviarNine maximizes your earning potential while you support the Radix ecosystem.
What You'll Need
Before providing liquidity on CaviarNine, ensure you have:
- Radix Wallet downloaded and set up (get it here)
- XRD tokens for transaction fees
- Supported tokens for liquidity - Bridge via Astrolescent
- Enrolled accounts in the Radix Rewards program
- Minimum $50 XRD/LSU holdings across linked accounts to earn points
CaviarNine's Unique Liquidity Opportunities
Important: Always make sure to visit the Rewards dashboard to see what assets, pairs, and pools earn you points: https://incentives.radixdlt.com/dashboard/earn
Standard DEX Liquidity (Points-Earning)
Provide liquidity to the same incentivized pairs as other DEXs.
LSULP - LSU Pool (CaviarNine Exclusive!)
Transform your staked XRD (LSUs) into active earning assets. This feature is only available on CaviarNine and earns incentive points!
HyperStaking (CaviarNine Exclusive!)
Participate in the LSULP/XRD pool that automatically adjusts ranges and earns incentive points - another CaviarNine exclusive!
Shape Liquidity (Advanced)
Professional concentrated liquidity with customizable price ranges for maximum capital efficiency.
Step-by-Step Guide: Standard DEX Liquidity
Step 1: Access CaviarNine Liquidity
- Go to caviarnine.com
- Connect your Radix Wallet
- Navigate to "Earn" → "Simple Pool"
Step 2: Choose Your Incentivized Pool
A full list of currently incentivised pools and assets can be found on https://incentives.radixdlt.com/dashboard/earn
Step 3: Add Liquidity
- Enter amounts for both tokens (the interface will auto-balance)
- Review the pool details and your expected LP token amount
- Click "Add Liquidity"
- Confirm the transaction in your Radix Wallet
LSULP: Put Your Staked XRD to Work
What is LSULP? LSULP transforms your individual validator LSU tokens into a diversified, actively managed pool that earns additional fees on top of staking rewards.
Benefits of LSULP:
- Enhanced Yields: Earn validator rewards PLUS trading fees
- Instant Validator Switching: Move between validators without unstaking
- Diversification: Your stake is spread across multiple high-performing validators
- Incentive Points: Earn Activity Points exclusive to CaviarNine users
How to Add Liquidity to LSULP:
- Navigate to "Earn" → "LSU Pool"
- Select your LSU token type and enter amount
- Click "Add Liquidity"
- Confirm the transaction
What You Receive:
- LSULP tokens: Representing your share of the pool value
LSULP Pool Stats to Monitor:
- Pool APY: Includes both LSU yield + trading fees (often outperforms individual validators)
- Pool Price (NAV): Current value per LSULP token in XRD
- Your Position: Track your LSULP balance and underlying value
HyperStaking: The Ultimate Set-and-Forget Strategy
What is HyperStaking? An innovative LSULP/XRD liquidity pool that automatically adjusts its price ranges to maximize fee generation from instant unstakers and 7-day depositors on CaviarNine.
Key Features:
- Zero Maintenance: Pool automatically adjusts to market conditions
- High Rewards: Earn fees from users wanting instant unstaking
- No-Loss Protection: Built-in mechanism protects your principal
- Concentrated Liquidity: Targets the NAV price for maximum efficiency
- Incentive Points: Participate to earn Activity Points
How to Participate in HyperStaking:
- Navigate to HyperStake
- Go to "Earn" → "HyperStake"
- Go to "Earn" → "HyperStake"
- Prepare Your Assets
- You need both LSULP tokens (from LSU Pool participation) and XRD
- The interface will show the optimal ratio
- Add Liquidity
- Enter your LSULP amount
- The pool automatically concentrates liquidity around the NAV price (-1.5% to 0%)
- Receive HyperStake LP tokens (HLP) representing your position
- Monitor Your Position
- Track earnings from instant unstaking fees
- Watch your automatic range adjustments
- Earn passive income with zero maintenance
Shape Liquidity: Advanced Concentrated Liquidity
For Experienced Users: Shape Liquidity allows you to concentrate capital within specific price ranges for maximum capital efficiency.
Key Concepts:
- Bins: Price ranges where your liquidity is active (bin size determines width)
- Concentration: Focus liquidity where trading activity happens
- Higher Fees: More concentrated = more fees when price is in your range
How to Use Shape Liquidity:
- Choose a Pool
- Navigate to "Earn" → "Shape Liquidity"
- Select an existing pool or create a new one
- Select Your Price Range
- Choose which "bins" (price ranges) to provide liquidity to
- Smaller bin sizes = more concentrated = higher potential fees
- Consider volatility: stable pairs use smaller bins, volatile pairs use larger bins
- Add Liquidity
- Deposit tokens according to your selected price ranges
- Receive LP tokens representing your concentrated position
How Liquidity Points Are Earned
Your liquidity provision earns Activity Points based on:
Standard DEX Pairs: USD value of liquidity × time provided (time-weighted average)
LSULP (CaviarNine Only): Based on your LSULP holdings and participation time
HyperStaking (CaviarNine Only): Based on your position in the LSULP/XRD pool
Weekly Conversion Process:
- During the week: Provide liquidity → Earn Activity Points (AP)
- End of the week: AP converts to Season Points (SP) based on your ranking vs others. Your SP is then multiplied by your XRD/LSU holding bonus (0.5x to 3x)
Pro Tips for Maximum Rewards
Diversify Across Features: Use multiple CaviarNine liquidity features to maximize point earning opportunities.
Monitor Pool Performance: Check APY, trading volume, and your position size regularly.
LSULP Advantage: The LSU Pool often outperforms individual validators due to fee earnings and diversification.
HyperStake for Passive Income: Perfect for users who want exposure to liquid staking without active management.
Watch Your Ratios: Maintain your XRD/LSU holdings to maximize the multiplier bonus on your Season Points.
Important Considerations
Impermanent Loss: All liquidity provision carries impermanent loss risk as token prices fluctuate.
Active Ranges: For Shape Liquidity, ensure your price ranges remain active to continue earning fees.
Pool Composition: LSULP only accepts LSU tokens from approved, high-performing validators.
Weekly Rankings: Consistent liquidity provision often performs better than sporadic large positions.
Minimum Holdings: Maintain at least $50 XRD/LSU across linked accounts to earn any points.
Risk Management
- Start Small: Begin with amounts you're comfortable potentially losing
- Diversify: Don't put all funds in a single pool type
- Monitor Regularly: Check pool performance and your positions weekly
- Understand Mechanics: Make sure you understand impermanent loss before providing significant liquidity
Next Steps
Ready to start providing liquidity on Radix's most advanced DeFi platform?
- Begin with Standard Pairs: Provide liquidity to supported pairs
- Explore LSULP: Convert some LSU tokens to LSULP for enhanced yields
- Try HyperStaking: Experience automated, self-adjusting liquidity provision
- Advanced Users: Experiment with Shape Liquidity for concentrated strategies
Visit CaviarNine and explore one of the most comprehensive liquidity provision suites on Radix. With exclusive features like LSULP and HyperStaking, you can earn Activity Points in ways not available anywhere else in the ecosystem.
For detailed explanations of the incentive system, check out: ELI5: How You Earn Points for the 1Bn XRD Airdrop
Questions? Join the CaviarNine community or check their comprehensive documentation for detailed guides on each feature.
