PASS Liquidity Mining - Connect your wallet and stake!
In the cryptocurrency world there is a term that many will have come across; ‘HODLing’ (holding on for dear life) is the propensity of cryptocurrency users to hoard their coins or tokens as they wait for the price to increase. Whilst a perfectly natural and reasonable stance to take, this approach results in a huge amount of value being held, unused, in cryptocurrency wallets. As a result, the liquidity of the ecosystem - its ease and availability to exchange between crypto and cash - suffers.
In an attempt to solve this liquidity issue, a few years ago a concept known as Liquidity Mining (then often referred to as ‘Yield Farming’) was introduced. Liquidity mining is a decentralized finance (DeFi) method by which those holding cryptocurrency or other crypto-assets are incentivized to deposit or ‘stake’ them in smart contracts, so that others can use them in loans. Those opting to stake their holdings (and therefore adding liquidity to the ecosystem - thus ‘liquidity mining’) are usually rewarded financially by those borrowing from them. The most common form of remuneration is a particular token. Essentially, the system works like a decentralized bank or building society, with crypto savings able to be lent to others in return for a small income - similar to interest - without the necessity of a middle-man.
The most obvious benefit is that people can now make money passively (and potentially not-insignificant amounts) just by owning crypto if they stake it to a liquidity mining solution; however, there are additional reasons for utilizing such a system. Those wanting to distribute tokens in a system could implement them as liquidity mining rewards, promoting their use and highlighting their value, particularly with tokens that have some other particular benefit or utility. Alongside this, liquidity mining is a simple and effective way to introduce people to the potential of cryptocurrencies, and incentivizes a positive ecosystem where people are encouraged to take part and interact with the system.
In order to ensure liquidity for users of $PASS - the revolutionary token that is so integral to Blockpass’ function and functionality - PASS partnered with UniSwap last year for a liquidity mining program. The decentralized crypto exchange Uniswap - noted for facilitating DeFi Apps for developers, traders, liquidity providers and others (with a particular focus on liquidity) - already having listed the price pair USDT/PASS, enhanced the liquidity of PASS through this event, collecting liquidity mining ‘receipts’ (liquidity tokens) and staking those ‘receipts’ in return for $PASS.
For those who haven’t seen the opportunity yet, the program allows users to earn rewards in PASS tokens by providing liquidity and staking Uniswap x3 LP token - all a user has to do is
Connect their wallet and stake! There are options both for Non-staked NFT positions and Staked NFT positions available.
Users taking advantage of this initiative in the near future may notice that there has been a significant update in the visual aspect of the liquidity mining initiative, as the PASS token aesthetic is updated and rolled out alongside the brand new website dedicated to PASS which can be found here and provides all relevant info about PASS, its utilities, staking, related articles and more. We encourage anyone to have a look and engage in the growing community in the PASS Token Official Group.