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Concentrated Pools (V2)

OctoSwap's Concentrated Pools use a next-generation AMM model—powered by the same technology as Uniswap v3—that allows liquidity providers to focus their capital within custom price ranges. This brings more flexibility, efficiency, and higher yield potential compared to classic (legacy) pools.

How Do Concentrated Pools Work?​

Custom Price Ranges: Instead of spreading your liquidity across all possible prices, you choose a price range where you want to provide liquidity. This makes your capital work harder and can result in higher fee earnings when the market price stays within your chosen range.

Multiple Fee Tiers: Different pools offer different fee tiers (e.g., 0.01%, 0.05%, 0.3%, and 1%). Lower fees are ideal for stable pairs and highly correlated assets; higher fees suit more volatile pairs.

Non-Fungible Positions: Each liquidity position is unique and represented as an NFT, since every LP can set their own price range, amount, and pool.

How to Provide Liquidity?​

Everything is managed from a single, easy-to-use page:

Select a Pool and Fee Tier​

Choose your token pair and select the fee tier that matches your risk/return preference.

Set Your Price Range​

Use the UI slider or input boxes to pick the price range where you want to provide liquidity.

Range Strategy
  • Tight ranges = higher potential yield, but more risk of being "out of range"
  • Wider ranges = more stable, less active management needed

Deposit Tokens​

  1. Enter how much of each token to supply (the interface auto-balances for you)
  2. Review your projected share, earnings, and possible outcomes

Confirm & Mint Position​

Click Add Liquidity and approve the transaction in your wallet. Your position will appear in the My Positions section, represented by an NFT.

Managing Your Position​

Active Management: You can increase yield by adjusting your price range as market conditions change, or by concentrating liquidity even tighter if you expect stability.

Remove Liquidity: At any time, you can withdraw part or all of your position. Tokens and earned fees will be sent back to your wallet.

View Stats: See real-time info on APR, pool volume, TVL, your range, and accrued fees.

Tips & Features​

Fee Tier Strategy
  • Lower fee tiers (like 0.01% or 0.05%) are great for stablecoin pairs and LSTs
  • Higher fee tiers (0.3%, 1%) are better for volatile pairs

Import Tokens: Easily provide liquidity for any supported ERC-20 by importing the token address.

Advanced Tools: Set custom slippage, check detailed stats, and monitor your position in real-time.

Risks & Considerations​

Important Risks

Out-of-Range: If the market price moves outside your set range, your liquidity is not used in trades and you won't earn fees until the price returns to your range.

Impermanent Loss: Learn about risks and strategies in our Impermanent Loss & MEV Guide.

Smart Contract Risk: As always, use funds you're comfortable with in DeFi.

Want a more passive approach? Learn about Legacy Pools → for set-and-forget liquidity.