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Creating a new Pool

Creating new pools or adding liquidity to existing pools on DMM is simple and hassle free. One important detail to take note is the amplification factor (amp) which determines the virtual balances of the pool.

Create

You can create a new pool for an existing pair or for a new pair/token. You can play around with the amp factor and see how the price range changes. Note that an unamplified pool (amp = 1) covers an infinite price range. Each pair can have multiple pools, with different amplification factors and every pool will have its own LP token. Our recommendation on the amp factor would be to use 1.15 - 1.3 for most pairs. However, for closely related asset pairs, you could have a higher amp factor as well. For example, for an intial price of 1, p0p_0, P{min} and P{max} supported according to the amp factor will be as :

Amp factor1.131.21.3
PmaxP_{max}58.783618.78
PminP_{min}0.020.030.05

LP fees, charged on every trade, will range between 0.15%-0.6% and are adjusted automatically based on volume which we call Dynamic Fees.