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What is the GRVT Liquidity Provider Program?
What is the GRVT Liquidity Provider Program?
Updated this week

The GRVT Liquidity Provider Reward Program is one of the main post-launch incentive programs for the GRVT community. Anyone who has completed KYC successfully on GRVT is eligible to earn.

Quote ask or bid orders to earn Liquidity Provider (LP) Points. Get higher points by quoting tighter within depth limits and watch your rewards grow. Note that this pool requires you to apply as a Liquidity Provider.

Points Mechanism

The rewards are based on points earned by provide liquidity and executing both buy and sell orders. Earn more Liquidity Provider points by maintaining tight bid-ask spreads within a defined maximum market depth. Tokens are awarded based on your relative Liquidity Provider points. Points are calculated every 1 minute, and the leaderboard is updated immediately afterward.

How to join

  1. Go to the Liquidity Provider reward page under Reward Portal tab.

  2. Click on the "Apply" button and submit your application to the form.

  3. Our team will review you application and email you regarding the status if we would like to proceed with the next steps.

  4. It will take around 2 weeks to review depending on the volume of applications.

  5. If approved to be a Liquidity Provider, the full Liquidity Provider Reward dashboard will be activated for your view.

Liquidity Points Methodology (Perpetual Markets)

Liquidity Points is the real-time points that a liquidity provider will accumulate over the month across each market and underlying asset that they trade.

It is composed of the following components:

Spread Score

Traders will gain a score as they quote within the maximum spread requirement. The tighter the quote, the higher the SpreadScore.

Depth Score

Each Spread Score will be multiplied by the size (depth) of the quote limited by a maximum depth cutoff specified for each product. Larger the depth, the higher the score.

Fast Market Multiplier

Quoting during fast market periods will yield a higher score. Spread Score and Depth Score will be multiplied by a multiplier during fast markets.

Underlying Multiplier

Each underlying will have a different multiplier, depending on its liquidity category.

Market Share Multiplier

A higher market share for each pair will lead to an increased score.

Most of the above parameter values vary by the coin's liquidity category:

Category

Target Spread

Depth Cutoff

UnderlyingMultiplier

Fast Market Cutoff (%)

Fast Market Multiplier

Coins

1

4.8

800,000

1

5.0%

100

BTC, ETH, SOL

2

18

300,000

2

7.0%

100

ADA, BNB, DOGE, LINK, OP, TON, POL, XRP

3

36

100,000

3

9.0%

100

ARB, ATOM, GRT, IMX, NEAR, ONDO,

PEPE, WIF, ZK


Token Distribution based on Liquidity Provider Points

Note: Calculations over accrued Liquidity Provider (LP) points will begin at the start of the month 00:00 UTC and last until the end of the month 00:00 UTC. We will take a snapshot on a monthly basis.

User's Liquidity Provider Points (per Epoch)

Sum of all LP points across all Underlying (e.g., BTC perp, ETH perp, SOL perp, etc.)

Liquidity Provider Points per Underlying

Sum of Liquidity Points over a month multiplied by the Market Share Multiplier

Note: A snapshot is taken every minute. We take the sum of the points over the snapshots, calculating from the start of the month (0:00 UTC) to the end of the month (0:00 UTC).

Liquidity Provider Points

Sum of your Ask Score and Bid Score multiplied by the Underlying Multiplier

Important Note: regarding the AskScore (BidScore), we only consider the quotes (from the best price to the worst) with cumulative sum of USDT notional cut by a “Depth Cutoff” (cutoff values subject to change):

  • Category 1 (BTC, ETH, SOL)

  • Category 2 (ADA,BNB,DOGE,LINK,OP,TON,MATIC,XRP)

  • Category 3 (ARB,ATOM,GRT,IMX,NEAR,ONDO,PEPE,WIF,ZK)

Spread Score

The Price Spread is configurable.

  • For the Ask side:

Exception is if there is no bid in the orderbook, then we will use the best ask instead.

  • For the Bid side:

Exception is that if there is no ask in the orderbook, then we will use the best bid instead.

The Target Spread can be subjected to change:

  • Category 1 (BTC, ETH, SOL)

  • Category 2 (ADA,BNB,DOGE,LINK,OP,TON,MATIC,XRP)

  • Category 3 (ARB,ATOM,GRT,IMX,NEAR,ONDO,PEPE,WIF,ZK)

Underlying

Target Spread

Category 1

4 bps

Category 2

15 bps

Category 3

30 bps

Depth Score

USDT notional of the quote. If the cumulative sum of USDT notional of all quotes exceeds the Depth Cutoff, then per the last quote involved, only a partial of the notional will be considered.

For example, if:

Then both of bid 1 and bid 2 will be considered in the above calculation, but for bid 3, only a portion (i.e., Depth Cutoff - Bid 1 Size - Bid 2 Size) will be involved.

Depth Score for bid 1 and bid 2 are their USDT notional respectively.

For bid 3, the Depth Score would be calculated as:

Fast Market Multiplier

Fast Market Multiplier incentivizes maker quotes during volatile markets, categorized as BID FastMarket or ASK FastMarket.

Side

Multiplier

Fast Market (BID)

100x

Fast Market (ASK)

100x

These conditions are based on a x% cutoff based HIGH LOW range within 2 hours, signaling significant market movements either upwards (ASK FastMarket) or downwards (BID FastMarket), where x depends on the coin’s Category, as follows:

Category

Underlying

Multiplier

Category 1

BTC, ETH, SOL

5%

Category 2

ADA, BNB, DOGE, LINK, OP, TON, MATIC, XRP

7%

Category 3

ARB, ATOM, GRT, IMX, NEAR, ONDO, PEPE, WIF, ZK

9%

During a BID FastMarket, each BID SpreadScore and DepthScore is multiplied by 100x.

During an ASK FastMarket, each ASK SpreadScore and DepthScore is multiplied by 100x.

Note:

  • FastMarketMultiplier (just like the other parameters) is subject to change depending on market conditions.

  • GRVT will alert all traders during fast moving markets on the interface, indicating that the Fast Market Multiplier is in place for all maker orders.

Underlying Multiplier

  1. Category 1: BTC or ETH or SOL: 1x (configurable)

  2. Category 2: some Alt-coins 2x (configurable)

  3. Category 3: some other Alt-coins 3x (configurable)

Market Share Multiplier

For the Maker Volume Market Share of each market maker, we will:

  1. Compute the monthly total USDT notional of all executed maker order

  2. Compute a market share (%) for each market maker

  3. Calculate on an hourly basis

  4. Apply your Market Share Multiplier of the previous hour to your points for the following hour

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