Provide Liquidity
Liquidity to buy/sell option on the Lyra market is provided by LPs who commit their funds to an on-chain AMM. In this guide, we will deposit/withdraw liquidity on-chain, as well as get other relevant info about the state of the AMMs liquidity.
LP related activities can be performed directly with the
LiquidityPool.sol core contract. As in the trading guide, install the @lyrafinance/protocol package and follow the setup instructions.pragma solidity 0.8.9;
import {LiquidityPool} from "@lyrafinance/protocol/contracts/LiquidityPool.sol";
Use the
@lyrafinance/protocol SDK to get the latest kovan/mainnet address. Note, you can use both the @lyrafinance/protocol or @lyrafinance/lyra-js to perform all of the actions in this guide off-chain.import { getMarketDeploys } from '@lyrafinance/protocol';
// get lyra address/abi/bytecode/more
const lyraMarket = await getMarketDeploys('kovan-ovm', 'sETH');
const LiquidityPoolAddress = lyraMarket.liquidityPool.address;
// initiate a deposit for ADDRESS with amountQuote sUSD
liquidityPool.initiateDeposit(ADDRESS, amountQuote);
The below event will be emitted, which can be used to get the deposit's place in the queue:
event DepositQueued(
address indexed depositor,
address indexed beneficiary,
uint indexed depositQueueId, // place in the queue
uint amountDeposited,
uint totalQueuedDeposits,
uint timestamp
);
// to get all deposit request details
liquidityPool.QueuedDeposit queuedDeposit = liquidityPool.queuedDeposits(depositQueueId);
Now,
processDepositQueue must be called successfully to mint LiquidityTokens to the ADDRESS. This function will be run periodically via lyra bots but can also be called by anyone.// attempt deposit process on 5 queued deposits
liquidityPool.processDepositQueue(5);
// emitted event on successful process
event DepositProcessed(
address indexed caller,
address indexed beneficiary,
uint indexed depositQueueId,
uint amountDeposited, // sUSD
uint tokenPrice, // sUSD per LiquidityToken
uint tokensReceived, // LiquidityTokens minted
uint timestamp
);
// initiate a withdraw for ADDRESS for amountTokens of LiquidityTokens
liquidityPool.initiateWithdraw(ADDRESS, amountTokens);
The below event will be emitted, which can be used to get the withdraw request's place in the queue:
event WithdrawQueued(
address indexed withdrawer,
address indexed beneficiary,
uint indexed withdrawalQueueId, // place in the queue
uint amountWithdrawn,
uint totalQueuedWithdrawals,
uint timestamp
);
// to get all withdrawal request details
liquidityPool.QueuedWithdrawal queuedWithdrawal = liquidityPool.queuedWithdrawals(withdrawalQueueId);
As in deposits,
processWithdrawalQueue must be called successfully to return sUSD to the ADDRESS.// attempt withdraw process on 5 queued withdrawals
liquidityPool.processWithdrawalQueue(5);
In contract with deposits, withdrawals can be partially processed if liquidity is constrained:
event WithdrawProcessed or WithdrawPartiallyProcessed (
address indexed caller,
address indexed beneficiary,
uint indexed withdrawalQueueId,
uint amountWithdrawn,
uint tokenPrice,
uint quoteReceived,
uint totalQueuedWithdrawals,
uint timestamp
);
// to get remaining token amount that has not been processed
liquidityPool.QueuedWithdrawal queuedWithdrawal = liquidityPool.queuedWithdrawals(withdrawalQueueId);
uint remainingTokens = queuedWithdrawal.amountTokens;
Deposit and Withdrawal processes can fail due to the below reasons. Refer to ??? for more:
- 1.Minimum deposit/withdrawal delay has not expired (currently set to 7 days)
- 2.Circuit Breaker triggered due to market volatility
- 3.Circuit Breaker triggered due to low liquidity
- 4.Circuit Brekaer triggered due to board settlement
- 5.
updateBoardCachedGreekshas not been called in a long time (usually automatically called by lyra bots)
To get the exact reason for a specific failed process, retreive the
CheckingCanProcess event emitted during a processDeposit/WithdrawalQueue tx:CheckingCanProcess(
uint entryId, // deposit or withdrawal queue id
bool boardNotStale, // reason #5
bool validEntry,
bool guardianBypass,
bool delaysExpired // reasons #1-4
);
// To get the exact time at which the Circuit Breaker will turn back off:
uint whenCBExpires = liquidityPool.CBTimestamp();
Once a deposit is processed, you can check the value of your LiquidityTokens:
import {LiquidityToken} from "@lyrafinance/protocol/contracts/LiquidityPool.sol";
function getTokenValue() {
uint tokenAmount = liquidityToken.balanceOf(address(this));
(uint tokenValue, bool isStale, uint circuitBreakerExpiry) = liquidityPool.getTokenPriceWithCheck();
// ensure valid conditions to get token value:
if (!isStale && circuitBreakerExpiry < block.timestamp) {
return tokenValue.multiplyDecimal(tokenAmount);
} else {
revert("token value is inaccurate due to market conditions");
}
}
Last modified 2mo ago