DFK CV JEWEL-xJEWEL LP How it works?
After ytd’s big news, many were asking so how is it going to work for Jewel-xJewel pair in Crystalvale Ice Garden. I am going to illustrate to you how it works in TLDR format.
For those who wants to read more about ytd, here it is https://medium.com/defi-kingdoms-official/defi-kingdoms-new-features-and-expansion-as-announced-at-avalanche-summit-eea5d1e831fb
The question many asked related to the following:
#1 So what is Jewel<>xJEWEL pair?
- Firstly you have to understand xJewel from Jeweler. You won deposit into Jeweler, your Jewels will be swapped to xJewel at the rate at the moment, and as long you hold xJewel you get to earn fees are collected throughout the game. This is reflected by the xJewel to Jewel RATE will always go up
- So let’s say you deposit 175 Jewel for 100 xJewel (rate is 1: 1.75) and 1 month later, the rate is 1.9, meaning you will withdraw 100xJewel it will be converted to 190 Jewels. This illustrate how you EARN in Jeweler in Serendale
- So going back to Jewel-xJewel pair, it simply means you are creating LP with these 2 tokens but because the value of Jewel and xJewel is almost pegged, there will be minimal Impernament loss risk. This means as good as Single Staking
- To do the pairing, you can simply Create a seeds and put them as pair and this means highly like you need to send both Jewel and xJewel to DFK Chain for Crystalvalue launch via the Docks (Refer screenshots below)
- Just like any LP, once you deposit your seeds in the Ice Garden, you will start to earn fees and also Crystal rewards!
- You can add xJewel in your Metamask by simply adding this contract address: xJEWEL
#2 What does xJewel is double earning in Serendale and earning in Crystal means?
- Firstly as long you hold xJewel, you continue to earn those fees as described about and the rate will continue to go up
- Secondly, now you can pair xJewel with Jewel to form LP in Ice Garden to earn Crystal too! So therefore another way to earn with xJewel
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