Nash is launching a beta liquidity mining program to create incentives for traders. Our program offers a total of 100,000 NEX to traders in proportion to the volume they create on our exchange.
For five weeks, beginning on 1 October at midnight UTC, Nash will offer a reward pool of 20,000 NEX per week, of which 10,000 NEX will be awarded for taker volume and 10,000 NEX for maker volume.
This test program will form the basis of future initiatives to generate liquidity through community incentives.
Click here to learn more about NEX if you are not familiar with our revenue-sharing token.
How to participate
All traders can participate in the program. All you need to do is trade, either as a maker or taker.
The threshold for receiving rewards is $10,000 average volume per day during each week, with a minimum of four days above $10,000.
No registration or locking is required.
Valid markets for the first week of the program are:
- BTC/USDC, ETH/BTC, ETH/USDC, LINK/USDC, NEO/USDC and NEO/ETH.
Nash team members and partners (e.g. in our paid market-making program) are excluded from receiving rewards.
How rewards are calculated
At the end of each week of the program we will compute separate leaderboards for maker and taker volume on mining.nash.io and offer proportionate rewards from the prize pools. This means we will compute the first leaderboard and rewards on 8 October 2020.
We are also giving back to our community! If you have existing NEX staked for 24 months you will be rewarded:
- ≥ 500 NEX: 50% volume bonus
- ≥ 1000 NEX: 100% volume bonus
Total NEX staked is taken into account, so these amounts can be spread across multiple 24-month stakes.
What exactly is liquidity mining (token farming)?
You may be familiar with the idea of “mining” from platforms in the Ethereum DeFi ecosystem. Automated market maker exchanges (AMMs) like Uniswap let users generate interest on idle assets, often termed “mining” or “farming”. In exchange, these platforms are able to use your assets to generate profits of their own.
Using these DeFi products to “farm” rewards represents a different user experience than the Nash liquidity mining program. On these platforms, you do not appear to place trades actively and the UX is just that of “locking” assets. However, in the background, something very similar is happening – your assets are being manipulated to generate interest.
When “mining” with an AMM, you are providing liquidity, which means your assets are in fact being used for trading. However, you’re not actively making orders yourself. Rather, the AMM generates an artificial spread based on data from a price oracle. Your assets are used to place orders at the bid/ask tips of an implied order book. A platform like Uniswap is effectively running a market-making bot for you.
Nash aims to offer high-performance non-custodial markets with real order books. AMM systems can’t offer this functionality, being restricted to instant swaps. For this reason, liquidity mining on Nash requires you to place trades yourself during the beta phase.
If you are interested in a more passive approach to liquidity mining, you can run a market-making bot. Don’t forget that, thanks to our decentralized API keys, Nash is the only non-custodial exchange that provides a safer way of utilizing trading bots! You don’t need to use your private keys or give access for moving funds like on other order book–based exchanges.
A quick guide to bots and our trading community
Our community has produced a number of resources to help you get started with trading bots on Nash!
- Nash Ambassador Fabien Stepho (Fabibi) has created a maker bot that runs in your web browser.
- Nash Ambassador Nick Koster has written an article about running a bot 24/7 on VPS (bot included).
- Nash recently integrated with Gunbot, the most popular crypto trading bot.
- The community-run “Nash Trading Syndicate” Telegram group discusses strategies and offers technical support. This group can help you find information about other bots or get set up with Gunbot.
Why is this program called “beta”?
It is our mission to bring decentralized finance to everyone. During this beta we will work together with partners and our community to improve the UX for people farming through our liquidity mining program – so we can not only compete with but beat the AMM experience and returns.
Have fun trading with the Nash community!
- Do I need both $10,000 taker volume to qualify for taker rewards and $10,000 maker volume to qualify for maker rewards?
You only need $10,000 total volume to qualify for all rewards.
- I’m staking NEX and qualify for a 100% bonus. Does that mean I only need $5000 volume to start earning rewards?
No. The bonus multiplier is only applied when calculating the rewards, not determining if you qualify for them.
- Where can I see my trading volume?
You can view your daily trading amount under the “Limits” tab on both the webapp and mobile app.
- At the start of a competition week I didn’t qualify for a bonus, but during the week I staked NEX and now qualify. Will I get a bonus for this week, or are the bonuses based on a snapshot taken at the beginning of the week?
Yes, you will qualify. You can add to your stakes during the week and your bonus will be based on your staking amount when rewards are calculated.