Depositing into the sBTC Pool
Make your Bitcoin work for you
If you’re wanting to figure out Curve, please read the starter guide. After reading this, you should have an understanding of how Curve works, how it makes money for liquidity providers and its risks which is ideally what you want before providing liquidity.
For most people, Bitcoin is an investment that’s hopefully safely stored on a Ledger or a Trezor but otherwise not doing very much. One of DeFi’s longterm goals has always been to bring Bitcoin to Ethereum and it seems it is finally happening as there is now over $50m worth of Bitcoin on Ethereum.
As a result, your Bitcoins can now be put to work on the Ethereum blockchain and one of the best offerings is Curve.fi sBTC pool. Below is a tutorial on how to provide liquidity as well as a short FAQ about the sBTC pool.
The CRV rewards will run in perpetuity for this pool.
Visit the deposit page (https://www.curve.fi/sbtc/deposit) and click on Deposit Bitcoin at the top. If you have any doubts about this process, you can find a guide that goes into more details by clicking here.
Enter the Bitcoin amount you wish to deposit and click "Deposit and Stake". That will reveal a box at the bottom with a Bitcoin address where you should deposit your Bitcoin. After waiting for the six confirmations, you will be prompted to sign or confirm a transaction (if not click the resubmit button) to deposit your tokens into the pool. Once that's done, there will be a second transaction to confirm that will start staking your LP (Liquidity Providers) tokens.
To check everything is in order, visit the profit page to check your funds are in the pool as well as staked: https://www.curve.fi/sbtc/profit
This feature is still in Beta so it is recommended to test with a small amount first. The fees include a 0.10% fee that goes to renVM, a Curve swap fee of 0.02% as well as the cost of a Bitcoin transaction (which is around $3 at the time of writing).
After depositing in the pool, you receive liquidity provider (LP) tokens. They represent your share of ownership in the pool and you will need them to stake for CRV.
After your deposit transaction confirms, you will be prompted with a new transaction that will deposit your LP tokens in the DAO liquidity gauge. Confirming the transaction will let you mine CRV.
You can claim them from the minter gauge.
Once that's done, you're providing liquidity and staking so all that's left to do is wait for your trading fees to accrue.
You can click the link below to learn how to boost your CRV rewards.
Last modified 2yr ago