Here Is How to Earn Up to 2,000% APR on WannaSwap
Decentralized exchange (DEX) WannaSwap recently launched on Aurora — an Ethereum Virtual Machine (EVM) built on the NEAR Protocol blockchain — enabling crypto investors and liquidity providers to aim for generous returns, with the annual percentage rate (APR) figures nearing 2,000%.
This short guide briefly explains how to move funds from Ethereum to Aurora and benefit from WannaSwap’s high-return opportunities.
Before discussing the actual steps, it’s worth highlighting that liquidity mining on WannaSwap can be regarded as a great investment opportunity in today’s low interest rate environment.
Unfortunately, the COVID-19 pandemic has forced central bankers worldwide to cut their interest rates to record low levels and inject cash into their economies. While this seems to be the most reasonable approach to support investment and consumption, retail and institutional investors find it more difficult to earn a decent yield on their capital.
Besides the low interest rate environment that is unfavorable to investors, inflation has been skyrocketing as a result of the money pumping from the Fed and other central banks, leading to the ongoing devaluation of national currencies like the US dollar.
Traditional high-yield savings accounts generate only about 0.50% annual percentage yield (APY) on average, which pales in comparison with the surging US consumer price index (CPI). Specifically, the latest data from the US Labor Department shows that consumer prices surged 0.8% in November and 6.8% compared to the same month in 2020. That was the fastest pace in almost four decades and the sixth consecutive month in which annual inflation exceeded 5%.
The good news is that the emerging Decentralized Finance (DeFi) space is providing multiple alternative ways to preserve value and protect your investments from the devaluing fiat currency.
WannaSwap provides some of the highest possible APR figures in the crypto market. The DEX acts as an automated market maker (AMM) and hosts multiple standard pools containing pairs of two tokens. The pairs that include WANNA — the DEX’s native token — enable liquidity providers (LPs) to earn a variable APR figure of up to 2,000% as of today.
One of the pools consists of USDC and USDT, the two largest stablecoins out there. The stablecoin pool offers an APR of 45%, which is much higher than on most DeFi lending protocols or AMM pools. Investors can hold their crypto funds in USD stablecoins to benefit from price stability while earning generous returns. All rewards are paid in WANNA.
LPs who stake WANNA on the Aurora-based DEX can enjoy the flexibility of choosing between various yield farming options that address the different investment needs and profiles.
How to Generate Return on WannaSwap
Now here are the easy steps to start the liquidity mining or staking process on WannaSwap:
- To begin with, you should have some funds in your Ethereum digital wallet, preferably MetaMask — an Ethereum wallet that works as an extension on major browsers, such as Chrome, Brave, and Firefox.
- Once you have MetaMask setup, you can go to NEAR’s bridge page at https://rainbowbridge.app/transfer to move your ERC-20 tokens to the Aurora ecosystem. You should initiate a transfer from your Ethereum address to an Aurora address, which is generated automatically on MetaMask once you connect the wallet. Alternatively, you can move your tokens from the NEAR Protocol to Aurora.
- After connecting your MetaMask to both Ethereum (or NEAR) and Aurora, click on “Begin new transfer” and then enter the transfer details. You’ll have to select the tokens you want to move to the Aurora ecosystem, the precise amount, and then confirm the transfer. For example, you can move ETH, USDC, USDT, AAVE, COMP, WBTC, or DAI, among others.
- That’s it! Now you have your tokens on Aurora and ready to be deployed on the WannaSwap DEX.
- The next step is to go to the WannaSwap DEX and enter the Swap page to buy WANNA with your Aurora-based tokens that you had transferred through the bridge.
First, you should make sure to switch to the Aurora network on your MetaMask wallet.
- Next, on the Swap page, you can enter the swap details and click on “Connect to a wallet” to connect to your MetaMask. For example, if you had moved USDC from the Ethereum mainnet to Aurora, now you’re free to buy WANNA with USDC through the DEX.
- On the Swap window, you’ll see the exchange rate and the price impact due to the potential slippage. Note that if you try to buy large amounts of WANNA with ETH, you should be ready for greater price impact. Buying with stablecoins would result in the lowest price impact, enabling you to get the greatest amount of WANNA.
- Once you have WANNA in your wallet, it’s time to put it to work!
There are two main approaches to generate yield on WannaSwap. To begin with, you can simply stake your WANNA tokens to earn up to 38% APR — note that the return figure is variable. To do this, go to the Stake page on the platform, enter the amount of WANNA you want to stake, and simply click on “Approve.” The platform pays those who stake from the 0.03% swap fee.
Once you start the staking process, you will receive WANNAx in return, which has a similar price to WANNA. You can redeem your WANNAx at any time by initiating the unstaking process on the same page.
If you want to contribute with liquidity to the available pools and generate even greater returns, with the APR figure getting close to 2,000%, you should go to the Farm page and start the liquidity mining process. WannaSwap hosts 12 pools as of today, including WANNA/USDT, WANNA/USDC, WANNAx, WANNA/wNEAR, USDC/USDT, and AURORA/wNEAR, among others.
For example, you can move your WANNAx tokens received during staking to the WANNAx pool to aim for an APR figure that can go as high as ~1,600%. All the rewards are paid in WANNA, irrespective of the pool.
WANNA/wNEAR, WANNA/USDT, and WANNA/USDC pools come with an even higher APR that can exceed 1,900%.
If you want to mitigate the volatility risk, you can contribute to the USDC/USDT pool to earn up to 48% per year. At the moment, this is the largest pool on the DEX platform, with the total value locked (TVL) exceeding $10 million.
WannaSwap is a great DEX platform that can help you put your crypto funds to work and let you benefit from the highest possible returns in the blockchain space. The DEX has an intuitive interface and leverages the Aurora network, which is growing fast thanks to its compatibility with Ethereum, high throughput, trustless bridging, and low transaction costs.
WannaSwap is ideal for investors looking to beat markets in a low interest rate environment — give it a shot today!
