Companies that provided liquidity for one of the most anticipated token issuances in recent memory have raked in over $500,000 in profits in the first few hours, data shows.
Arbitrum’s governance token, ARB, went live for claiming on Thursday. The tokens can be used to vote on decisions about future Ethereum scaling protocol changes.
Uniswap data shows that over $180 million in volume was traded in the ARB/ETH liquidity pool, generating $542,000 in liquidity provider (LP) fees. LPs are companies that provide two different tokens to the smart contracts of a decentralized exchange and charge a cut in the fees charged by that exchange for each trade.
Data shows that 9,900 Ether (ETH) and 9.34 million ARB are locked in the Uniswap liquidity pool as of Friday press time. Another, relatively smaller, liquidity pool on Trader Joe is locking up over $3 million.
Uniswap pool annualized returns range from 90% to 100% during the Asian morning hours on Friday. Trader Joe’s pool is significantly larger at 800%.
Meanwhile, Nansen data shows that as of Friday, over 75% of all tokens have been claimed, with over 800 million ARBs now held by users. ARB has an outstanding supply of $1.2 billion and trades at $1.30 with a market cap of $1.7 billion.
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