Time to become a liquidity provider(LP) or otherwise known as a Farmer.
Where you can earn up to 140% APY(Annual Percentage Yield) on your xDAI and XGT crypto. Where transaction(gas) fees are less than $0.001 and takes only <5 seconds for a transaction to be completed. Unlike Ethereum mainnet gas fees that cost up to $100 or more. An LP would simply add 50% xDAI and 50% XGT of his crypto holdings into the xDAI/XGT pool and in return earn fees + rewards. You can think of a liquidity pool as a big pile of funds that traders can trade against and in return for providing liquidity, you will earn fees from the trades that happen in the xDAI/XGT pool + rewards.
Here is an example:
Bob wants to deposit his $100 worth of xDAI and $100 worth of XGT
He connects his Torus wallet and scrolls to the heading "Start Farming with xDAI"
Enters in 100 xDAI and clicks "USE YOUR XGT" to add his $100 worth of XGT
Clicks "Start Farming" & approves 2 transactions to add his funds to the pool
He receives liquidity pool tokens called UNI-V2, that now represents his deposit + any accrued trading fees. This is displayed in a USD amount under "Earnings Balance"
Every time a trader swaps xDAI <> XGT, they pay a 0.3% fee. This fee is immediately distributed amongst all the liquidity providers in the pool, including Bob. Depending on how much he deposited, is what percentage of fees he will earn
As a bonus Bob will also earn XGT rewards every 5 seconds in return for providing liquidity
We make use of AMMs(Automated Market Makers) known as Honeyswap and Uniswap. An AMM works similarly to an order book exchange in that there are trading pairs – for example, xDAI/XGT. However, you don’t need to have a counterparty (another trader) on the other side to make a trade. Instead, you interact with a smart contract(liquidity pool) that “makes” the market for you.