Liquidity Provider Role

Also known as LPs, the Liquidity Provider role is usually fulfilled by professional market makers, but Chainflip also supports passive liquidity provisioning strategies. A good liquidity provider will have expertise in risk management and market making, and knowledge of how our AMM works.

If you want to market-make on Chainflip, register as an LP. You can do this using 2 method:

Register using chainflip-cli

chainflip-cli lp register

Once registered, the account will have full access to LP-related actions through the LP API.

Deregister using chainflip-cli

In order to be able to redeem all remaining FLIP, LP accounts must deregister. A pre-requisite for deregistering, LPs must not have any open orders and must withdraw all funds from their free balance. Once this is done, the LP API can be switched off and the account deregistered via the CLI:

chainflip-cli lp deregister