How It Works

Bound's Runes AMM uses Concentrated Liquidity - LPs deposit assets into pools and set a custom price range over which their liquidity is active.

The basics

1. Choose a pool (e.g. PUPS/BTC) from the Pools tab

2. Set your price range - the range over which your liquidity will be active

3. Enter your asset amounts - required amounts are based on the current AMM quote price

4. Confirm and sign a PSBT from your Trading Wallet

5. Your position appears immediately in the Positions tab

How you earn

As trading occurs within your designated price range, you earn a share of the trading fees generated. Fees accrue in real time and are claimable at any time from the Portfolio tab.

Fee tiers

When providing liquidity, you choose the pool's fee tier (0.05%, 0.30%, 0.50%, or 1.00%). Higher fee tiers compensate for higher volatility and lower liquidity depth.

2/3 of all trading fees go to Liquidity Providers. The remaining 1/3 goes to Bound protocol.