Your step-by-step guide to opening a liquidity position on Carbon DeFi for daily Token Point (TPS) drops.
Overview
Carbon DeFi was the first DEX live on COTI Mainnet. Now it’s one of the best ways to earn Token Points (TPS) on COTI Earn, which turn into real token rewards at the end of the season!
By opening a qualifying liquidity position on Carbon DeFi, users can start stacking daily TPS rewards while contributing real liquidity to the ecosystem.
This guide walks you through everything you need to know:
Eligible assets to earn rewards
How to bridge to COTI Network
Step by step guide to deposit and open a position Carbon DeFi
How to stack rewards!
Assets & Rewards
To qualify for daily reward drops, users must hold one of the following assets on the COTI Network, and open a liquidity position on Carbon DeFi. Each asset will earn TPS as a set rate each day per $100 deployed. Meaning rewards scale proportionally with the liquidity provided. The more you deposit and liquidity you provide, the more you earn!
📌 $10 minimum liquidity deposit per position. Positions must remain open for at least 24 hours to be eligible.
How to Open a Liquidity Position on Carbon DeFi
You are just three steps away from starting stacking TPS.
Bridge your chosen asset to COTI Network
Add liquidity on Carbon DeFi
Keep your position open and watch the TPS drop daily
Step 1: Get your Chosen Asset via a Bridge
If your chosen asset is not already on COTI Mainnet, check out our bridging guide to help you bring tokens across to COTI Network.
You can easily bridge COTI, USDC, ETH, BTC, USDT, ADA all to our mainnet network in just a few steps following our bridge guide.
You will need to ensure that your wallet has the relevant contract address of your chosen asset. Find the contract address here.
If you are new to adding token addresses to your wallet, follow the step-by-step instructions in the bridging guide.
Step 2: Deploy Liquidity to Carbon DeFi
Pick a Strategy
You can create any of the following liquidity strategies to be eligible to earn TPS and you may use any of the eligible tokens (COTI, gCOTI, USDC.e, wETH, wBTC, USDT, wADA) paired with any other standard ERC20 token:
Limit: This classic tool enables traders to set exact buy or sell prices. No trading fees or gas fees on filled orders.
Range: Trades within specific price ranges, ideal for scaling in/out of a position.
Recurring Limit Order: an automated grid trading strategy. Buy order and sell order are connected allowing funds to automatically rotate between them in an endless loop.
Concentrated liquidity: Full range liquidity: Deploy capital across the entire market range. Manage concentrated liquidity positions while choosing your specific spread, with built-in auto-compounding.
Check Carbon DeFi’s handy overview of the different trade types for more in-depth information.
You can view all the current strategies earning TPS on Carbon DeFi at any time by navigating to the Gift box icon. After you create any strategy you can navigate to ‘Portfolio’ then ‘Strategies’ to review, and adjust positions on the fly.
Trading with Different Strategies
In all the following cases the first three steps are the same:
Visit earn.coti.io and connect your wallet (important to receive TPS)
Head to Carbon DeFi: coti.carbondefi.xyz
Connect your wallet — ensure you are on COTI Network
Limit Orders
Clicking on ‘‘Trade’ in the top menu bar.
Choose “Limit” for a one-time buy/sell, or “Range Order” to scale in/out of a position.
Enter the specific price at which you want to buy or sell. Input the amount of tokens to trade.
Click ‘Create’ to place the order. The order is automated and executes only when the market hits your target price.
It is possible to adjust parameters after the trade is placed. Check out Carbon DeFi’s guide for more details.
See Carbon DeFi’s guide on Limit orders or guide to Range orders here.
Recurring Limit order:
Navigate to ‘Recurring Limit’ within the Intermediate menu or Recurring Range within the Advanced Menu. This will allow you to set up a strategy that loops between buy/sell orders in perpetuity.
Select the desired trading pair.
Set the price range you wish to Buy at (the lower range).
Set the price range you wish to Sell at (the higher range).
Set the budget. You may fund either the Buy or the Sell side — you don’t need to fund both sides for this type of trade.
Click ‘Create’ to deploy your strategy on-chain.
Bancor has created a detailed guide on Recurring orders here.
Concentrated liquidity:
This feature enables you to:
Buy and sell within a custom price range.
Free of tick constraints
Auto-compounding
The ability to choose a custom fee tier
Within the Essentials menu, choose ‘Concentrated’
Choose your pair by selecting any two tokens
Set Buy Range — the lower price
Set Sell Range: — the higher price
Set Fee/Spread: Define your fee (profit) margin.
Adjust on the Fly: You can modify your range orders without needing to close and recreate your position by navigating to ‘Portfolio’ then ‘Strategies’ in the top menu.
By following these simple steps you can start providing liquidity and earning token points (TPS) today.
Step 3: Keep Your Position Open and Watch the Rewards Accrue
To qualify for rewards your liquidity position must remain open for at least 24 hours. TPS rewards are accrued automatically and dropped into your wallet each day.
👉 Get started now on Carbon DeFi👉 Join Earn Season 3
Participating in Earn Season 3 is rewarding and supports real on-chain liquidity, while helping bootstrap the COTI DeFi ecosystem.
Stay COTI. 🚀
For COTI updates and to join the conversation, be sure to check out our channels:
Website: https://coti.io/
COTI Earn: https://earn.coti.io/earn
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GitHub: https://github.com/coti-io