> For the complete documentation index, see [llms.txt](https://help.dedust.io/en/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://help.dedust.io/en/liquidity/pools.md).

# Pools

Here you will learn about the liquidity pools, their types on DeDust, how they work, how to deposit and withdraw the liquidity to/from pools. And how to earn on providing liquidity.

## What is a Liquidity pool

<details>

<summary>Very simplified, liquidity pool is a 'trading pair' of two cryptocurrencies on a decentrilized exchange (DEX), serving to allow users to swap one crypto for another, e.g. TON to USDT.</summary>

If more complicated, liquidity pool is:

* a kind of vault, a storage, containing a combination (usually a pair) of cryptocurrency tokens (usually in 50/50 proportion), allowing users to buy from (or sell to) that pool one token for another,&#x20;

and on the other hand,

* a smart contract deployed in the blockchain — a program code with a set of strict rules, defining how a specific liquidity pool operates and executes the swaps, initiated by users.

{% hint style="info" %}
Once a pair of assets (tokens) is placed to the liquidity pool, users can start trading those assets. Then, putting certain amount of one token to a pool ('selling' it to the pool) user gets in return some amount of another token from that pool ('buying' it from the pool), according to its exchange rate.
{% endhint %}

{% hint style="info" %}
Only the proportions (amounts) of two assets in a pool define one's "price" expressed in another, and define their exchange rate **in that specific pool**. The more liquidity[^1] (or assets, in total) the pool contains, the less will be the [price impact](/en/trade/advanced/price_impact.md) (exchange rate deviation) with every swap in it.
{% endhint %}

</details>

For every exchange in a pool it withholds a fee, called [*Trade fee*](/en/protocol/fees.md#fee-for-swaps-or-trading-fee) — from a user performing the swap.

## How it works on DeDust

* The trading fees might vary in different pools.
* 70-80% of trading fees, depending on [pool type](/en/liquidity/pools/types.md), are distributed between all pool's liqiudity providers, according to their share.
* 20% of fees is used to buyback [$DUST tokens](/en/protocol/dust.md) from market and reward holders for staking.
* The fee may be deducted either from trader's amount of tokens that he spends, or from amount of tokens he gets after swap. Depending on pool's properties and swap direction.
* All fees are withheld from traders and distributed to liquidity providers instantly, at the moment of swap.
* The trading fee is only withheld if a swap was successful.
* With every swap each liquidity provider's portion of trading fee earnings is:
  * auto-compounded to the total amount of provider's tokens in the pool (added to his position), in case of [Classic](/en/liquidity/pools/types.md#classic-pool-cpmm-v1) and [Stable-swap](/en/liquidity/pools/types.md#stable-swap-pool) pools, or
  * accumulated on a separate balance and available for claim anytime, in case of [CPMM v2](/en/liquidity/pools/types.md#claimable-fees-pool-cpmm-v2) pools.

## Exploring pools

Open DeDust [Pools](https://dedust.io/pools) section, from a Homepage or using a taskbar.

In the top you'll find [basic stats](#user-content-fn-2)[^2] on major DeDust liquidity pools.

Switch from ***All pools*** to ***My pools*** tab, to see details only on pools you're providing liquidity to.

{% hint style="info" %}

* Pools with the same pair of tokens are by default grouped in one record.
* Most traded token pairs by volume will always be in the top of the list.
* Scroll to the left and right, to see pools key performance values including APR, and your rewards.
  {% endhint %}

<div><figure><img src="/files/6n00N7q4BPcIpnTjKHms" alt=""><figcaption><p>Homepage</p></figcaption></figure> <figure><img src="/files/ySi2y8kRLUhd7VB756m4" alt=""><figcaption><p>Pools</p></figcaption></figure> <figure><img src="/files/d2baJcbmyGlnmtSxr2gY" alt=""><figcaption><p>All pools</p></figcaption></figure> <figure><img src="/files/LIE5PPoeSccfampOttdg" alt=""><figcaption><p>My pools</p></figcaption></figure></div>

Use filters to find relevant pools for specific cases:

* **Pool type** — choose between different volatile pool types and stable-swap pools
* **Coins filter** — use search or pick some from the list, to view only pools with selected tokens
* **Boosted** — pools with additional [boost rewards](/en/liquidity/boosts.md)

{% hint style="warning" %}
Pools containing at least one [non-whitelisted token](/en/trade/swap/imported.md) will be shown on Pools page only after you [import the non-whitelisted token(s)](/en/launch/whitelist/non-whitelisted.md).
{% endhint %}

<div><figure><img src="/files/FV3pRQTKspevlvQHw3FA" alt=""><figcaption><p>Pool types filter</p></figcaption></figure> <figure><img src="/files/h8rxN0p6Y6GtcEHjkS0Z" alt=""><figcaption><p>Coins filter</p></figcaption></figure> <figure><img src="/files/rwU8fAXGCQx3f4hT1msV" alt=""><figcaption><p>Coin-filtered pools</p></figcaption></figure> <figure><img src="/files/VNd1s82bvJo7KlY8oWLO" alt=""><figcaption><p><a href="/pages/nAL6hJrU3I2fgiNke39K">Boosted</a> pools</p></figcaption></figure></div>

<details>

<summary>Learn more</summary>

{% hint style="success" %}
Once you filter pools with more than one token, pairs containing both tokens will be shown first.

Expand / collapse pools within a grouped pair. Press "**Show all**" to display more than five pools.
{% endhint %}

<div><figure><img src="/files/VtHZbEJqJWjcJesocsfS" alt=""><figcaption><p>Multiple-coins filter</p></figcaption></figure> <figure><img src="/files/o4bvXYMkD5GlBbN6PUf9" alt=""><figcaption><p>Expanded pools group</p></figcaption></figure> <figure><img src="/files/eNkVM5zTyEk2cnx9Kt1s" alt=""><figcaption><p>All pools within group</p></figcaption></figure> <figure><img src="/files/NJjhv5crlrhXgjl2lpxL" alt=""><figcaption><p>APRs within group</p></figcaption></figure></div>

{% hint style="info" %}
Group TVL, Volume, Fees and APR values — are shown as total / average of pools within a pair.
{% endhint %}

</details>

[^1]: The total liquidity in a pool, or the total value of both assets placed to that pool (usually expressed in USD), is one of key metrics called Total Value Locked (TVL).

[^2]: On pools with [whitelisted tokens](/en/launch/whitelist.md) and tokens you imported yourself.
