🟢Redeeming Liquidity

Before you start

Xfai has two forms of liquidity provisioning: Two-sided liquidity provisioning and Infinity Staking. When a user performs two-sided liquidity provisioning, they receive an ERC20 liquidity token. That token can at any time be redeemed for the underlying liquidity plus any accumulated fees.

Note, in two-sided liquidity provisioning, the underlying liquidity can always be redeemed. In Infinity Staking, it cannot. In two-sided liquidity provisioning, impermanent loss can occur.

How to redeem liquidity on Xfai

Xfai enables users to redeem their liquidity tokens at any time. To redeem liquidity:

  • Make sure that you are on the Liquidity tab of the Xfai app and have your wallet connected. For more details on how to connect your wallet, check this guide.

  • Click on the Manage Liquidity button on the page.

  • Select one of the listed liquidity tokens.

  • Click on the Redeem button of the liquidity token.

  • Specify a secondary token to exit from.

  • Give Xfai permission to use your liquidity tokens.

  • Set the amount you wish to redeem.

  • Click on the Confirm button.

  • Once the transaction is accepted, click on the Done button to get back to the Xfai app.

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