Mangrove
Mangrove
Mangrove
  • START HERE
    • What is Mangrove?
      • Smart offers
      • Bounty
      • Makers, Takers, Keepers
        • Makers
        • Takers
        • Keepers
    • Why Mangrove?
    • Who is the Mangrove dApp for?
    • Audits
    • FAQ
    • Glossary
    • Terms & Conditions
  • Strategies
    • Kandel
      • What is Kandel?
      • How does Kandel Work?
        • Step-by-step visual explanation
        • Parameters
        • Choosing Kandel parameters
        • Published Liquidity
        • More on failing offers
      • Potential risks
  • DAPP GUIDE
    • Swap
    • Trade
      • How to make an order
        • Market Order
        • Limit Order
        • Amplified Order
        • More on order types
      • Approvals
      • Minimum Volume
      • How to Track and Manage Orders
    • Earn
    • Rewards
    • Bridge
    • Wrap
  • MGV INCENTIVES
    • Fee Rewards
      • How the programs Work
      • Current programs
    • Vault LP programs
      • How the Programs Work
      • Current programs
      • Earning rewards
      • Example
      • Previous programs
    • MS2 Program (closed)
      • How Rewards Are Calculated
        • Reward Rate ρ
        • Takers Rewards
        • Adjusted Volume for Makers
        • How to Maximize Your Score
      • MGV Token Allocation per User Type
        • Specific Allocation for Kandel users and vault managers
        • Community Contributors
        • Incentives with a custom strategy
      • Epochs and Updates
    • MS1 Program (closed)
      • Intro
      • Trading Points
      • Boost
      • Referral Points
      • Community Points
      • Parameters
      • Technical Insights
      • MS1 FAQ
      • Disclaimer
  • Governance
    • General Governance
      • Key Stakeholders
        • Token Holders
          • Builders
        • Builders
        • Pods
      • Guardians
      • Governance Process
        • Initial Discussions
        • Proposals
        • Voting
        • Execution
    • Councils
      • Responsibilities
      • Elections
      • Budgets
    • Guides and resources
      • How to vote on a governance proposal
      • How to delegate my voting power
      • How to access the Builders’ directory
      • How to access the Pods’ directory
      • Snapshot configuration & membership
      • Links and adresses
  • QUICK LINKS
    • Whitepaper
    • Website
    • Feedback
    • Blog
    • GitHub
    • X
    • Discord
    • Telegram
    • Deployment adresses
Powered by GitBook
On this page
  1. MGV INCENTIVES
  2. MS1 Program (closed)

Trading Points

PreviousIntroNextBoost

Last updated 5 months ago

Takers earn points daily, based on their trading volume within the Mangrove DEX and a specific weight for each market.

For example, in the WETH/USDB markets, every $1 traded equals 1 point, motivating participants to increase their trading activity.

Liquidity Provision Points​

One of the core goals of the MS1 Program is to reward a balanced orderbook, in order to do this, we currently reward those who keep their positions balanced at a higher rate than those who do not.

Because of this, you will gain greater rewards if you have bids and asks on the book at the same time, if you look at the paper linked below, you will see this:

What this means is that your points are based on the minimum points you gained from your asks and your bids. With no asks for example, you will get only a small reward.

Makers contribute to the ecosystem's health by providing liquidity, earning points for their crucial role, with a predetermined weight for each market. The best quality liquidity close to the market price and on both sides of the book gets rewarded the most.The distribution of points among makers isn't purely proportional to the volume generated by their liquidity.

The calculation encapsulates the essential contributions of Makers, rewarding consistency (uptime), market relevance (proximity to the spread), and the effectiveness of the liquidity provided (volume).

Competitive Makers: These are the pillars of market efficiency, providing liquidity that's on both sides of the book and closely aligned with the current market prices, thereby ensuring minimal spreads.

Non-Competitive Makers: Recognized for adding to the market's liquidity pool, these Makers might offer asymmetric liquidity at prices farther from the market's current rate. The program still rewards them but emphasizes encouraging more market-conducive offers over time.

For a detailed description of the MS1 points calculation, refer to the MS1 Whitepaper.