Swap / AMM

PolyGoon Swap

The Automated Market Maker (AMM) is where you go to swap cryptocurrencies on Polygon (Matic) Network. You can also add liquidity at the AMM which will transact PolyGoon LPs into your wallet for collecting a portion of the trade / swap fee and these LPs can then be used to stake in the farms / pools to earn GOON.

Swap Features

• Our own AMM means liquidity is locked in the PolyGoon Swap, giving the Yield Farm independence and stability, once we have built enough liquidity (we need your help to achieve this goal!).

• Controlling our own liquidity, allows us to offer investors incentives and features that would not be possible otherwise.

Token Swapping

​Token Swap on PolyGoon is the simple way to trade Polygon (Matic) Network tokens for another via automated liquidity pools.

The liquidity provided to the AMM comes from Liquidity Providers ("LPs") who stake their tokens in "Pools". In swap, they get PGLP (PolyGoon Liquidity Provider) tokens, which can also be staked to earn GOON tokens in the "farm".

When you make a token swap (trade) on the swap interface you will pay a 0.3% trading fee, which is broken down as follows:

0.2% - Returned to liquidity pools in the form of a fee reward for liquidity providers.

0.1% - Is used to buy back & burn GOON token

​

Note of Liquidity Providers :

Providing liquidity is not without risk, as you may be exposed to impermanent loss. “Simply put, impermanent loss is the difference between holding tokens in an AMM and holding them in your wallet.” - Nate Hindman​

It’s not all bad for liquidity providers as you will also be given a reward in the form of trading fees. Whenever someone trades on PolyGoon, the trader pays a 0.3% fee, of which 0.2% is added to the liquidity pool of the swap pair they traded on.

To make being a liquidity provider even more worth your while, you can also put your LP tokens to work whipping up some fresh yield on the PolyGoon farms, while still earning your 0.2% trading fee share.