DOLA Liquidity Pools
Provide Liquidity to help DOLA grow!
Deep DOLA liquidity is vital to the success and growth of Inverse Finance. For Stablecoin liquidity, currently it is most efficient to use Curve pools as these pools keep the peg of the stablecoin far better the most other 50:50 pools. As these liquidity pools are with dollar stablecoins only, the risk of impairment loss is very low, meaning that liquidity providers can collect trading fees and other incentives at a relatively low risk.
When depositing liquidity, you will receive an LP token in return. This LP token is what proves your stake in the liquidity pool and you need it to be able to withdraw your funds. Trading fees and/or token incentives are accumulated to the liquidity providers are added your balance automatically.
On Curve, DOLA is paired with FRAX and 3POOL (USDC, DAI and USDT).
Ethereum layer 2 rollups like Arbitrum and OP Mainnet bundle user transactions for increased speed and lower costs. They have some weaker or different security assumptions than Ethereum, but you can manually withdraw your funds from the rollup back to Ethereum in case of emergency.
To bridge a token to blockchains other than Ethereum, third parties need to be employed to custody tokens sent from Ethereum to a destination chain.
Optimism is an optimistic rollup (layer 2) to Ethereum with reduced gas fees and increased transaction speed, DOLA is paired with USDC on Velodrome.