top of page

Exploring Use Cases for eHEX: Staking, Farming, and Liquidity Provisioning

May 29th, 2024 by Chrispyman

 

As eHEX continues to operate flawlessly, many users are exploring different ways to maximize their returns. This post will delve into three popular methods: staking, farming, and liquidity provisioning. We'll compare their benefits, risks, and potential returns, helping you make an informed decision on how to put your eHEX to work.


Staking eHEX

Staking eHEX involves locking up your tokens (on the Ethereum Chain Contract) for a specified period to earn rewards. The longer you stake, the higher your potential returns. Staking rewards are distributed in eHEX, and the longer you commit to staking, the higher the potential returns, leveraging the power of compound interest over time.


Farming HEX

Farming involves providing liquidity to decentralized exchanges (DEXs) and earning rewards in the form of new tokens. On platforms like 9INCH, you can farm eHEX and earn an estimated 17.92% APY, rewarded in BBC tokens. Farming can be highly profitable, but it also carries risks such as impermanent loss, where the value of your staked tokens fluctuates with market volatility.


Providing Liquidity for eHEX Pairs

Liquidity provisioning involves supplying pairs of tokens to DEX liquidity pools, enabling trading on the platform. In return, liquidity providers earn a share of the trading fees.




43 views0 comments

Comments


bottom of page