The EPK/USDT liquidity pool on Gate.io has recently introduced a time-limited incentive to boost user participation. As of today at 12:00 PM, an additional 25,740 EPK has been added to the reward pool for liquidity providers. This temporary bonus aims to encourage more users to contribute liquidity and benefit from the growing trading volume in this market.
Currently, the EPK/USDT pair is seeing strong activity, with a 24-hour trading volume of 5,480.62 USDT, indicating rising interest and market depth. With the integration of automated market maker (AMM) functionality, users can now enjoy decentralized finance (DeFi)-style benefits while maintaining the security and efficiency of a centralized exchange.
👉 Discover how liquidity pools can generate passive income today.
Understanding Gate.io’s AMM Liquidity Pools
Launched on August 1, 2021, Gate.io's upgraded liquidity pool system leverages a centralized automated market maker (AMM) model. This hybrid approach combines the capital efficiency of DeFi protocols like Uniswap with the reliability and low fees of a trusted centralized platform.
The AMM model allows even emerging or low-cap tokens like EPK to maintain healthy liquidity, enabling smoother trades and tighter spreads. By contributing assets to these pools, users become liquidity providers (LPs) and earn rewards in return for their participation.
Gate.io continues to expand its list of supported trading pairs, ensuring broader access to innovative crypto projects. Stay tuned for future announcements as more tokens are added to the AMM ecosystem.
How the AMM Model Works: Key Rules and Benefits
To ensure transparency and fairness, Gate.io has established clear guidelines for its AMM markets:
- Fixed trading fees: Both takers and makers are charged a flat 0.3% fee per trade. Unlike standard markets, these fees cannot be offset with discount points — aligning with Uniswap’s initial model, though adjustments may occur based on demand.
- Reward redistribution: A portion — currently 50% — of all collected trading fees is used to buy back GT (Gate Token) on the open market. These tokens are then funneled into the AMM Reward Pool, which directly benefits liquidity providers.
- Open participation: Anyone can become a liquidity provider by depositing equal values of both assets in a trading pair (e.g., EPK and USDT). In return, LPs receive a share of transaction fees proportional to their contribution.
- Impermanent loss awareness: While providing liquidity can yield profits, participants should understand the concept of impermanent loss. For example, if the price of EPK doubles relative to USDT, LPs could face approximately 7% impermanent loss. However, this loss diminishes if prices revert to their original levels.
- Full control over funds: Liquidity providers retain full flexibility — they can withdraw their assets or claim accumulated rewards at any time without penalties or withdrawal fees.
These features create a balanced environment where traders enjoy better execution, and LPs earn consistent returns — all within a secure, regulated framework.
Frequently Asked Questions (FAQ)
Q: What is an AMM liquidity pool?
An Automated Market Maker (AMM) liquidity pool is a smart contract-based reserve of funds that enables token trading without traditional order books. Instead of relying on buyers and sellers to match orders, prices are determined algorithmically based on the ratio of assets in the pool.
Q: How do I start earning from the EPK/USDT pool?
To begin earning, simply deposit equal values of EPK and USDT into the liquidity pool via Gate.io’s interface. Once added, you’ll start receiving a portion of the 0.3% trading fees generated in the market, plus bonus rewards from the GT-backed incentive pool.
Q: Is impermanent loss avoidable?
Impermanent loss is inherent in most AMM systems when asset prices fluctuate significantly. While it can’t be completely avoided, it can be mitigated by choosing stable or correlated pairs, or by earning high enough fees to offset potential losses.
Q: Are there any risks involved in liquidity provision?
Yes. Besides impermanent loss, risks include smart contract vulnerabilities (though minimized on centralized platforms), price volatility, and changes in protocol rules. Always conduct due diligence before investing.
Q: Can I withdraw my liquidity at any time?
Yes. One of the key advantages of Gate.io’s AMM system is that liquidity can be withdrawn instantly, with no lock-up periods or withdrawal fees.
Q: Why does Gate.io use GT for rewards?
GT is Gate.io’s native utility token. By using GT to fund rewards, the platform reinforces token utility and provides long-term value to both LPs and GT holders through buybacks and burns.
The Value of Liquidity Mining in Modern Crypto Ecosystems
Liquidity mining — also known as yield farming — has emerged as one of the most powerful tools in decentralized finance (DeFi). It allows users to stake or lock up crypto assets in return for rewards, often paid in additional tokens.
Unlike traditional savings accounts or staking mechanisms, liquidity mining actively contributes to market health by ensuring sufficient buy and sell orders exist at all times. In return, participants earn:
- Transaction fee shares
- Bonus token distributions
- Platform-specific incentives (like GT buybacks)
This model empowers everyday investors to become integral parts of financial markets — not just traders, but market makers.
Moreover, anyone with internet access can join, making it one of the most inclusive innovations in digital finance.
👉 Learn how you can start generating yield through modern liquidity strategies.
Why Provide Liquidity? Key Advantages Explained
Adding liquidity isn’t just about earning rewards — it’s about participating in the evolution of financial infrastructure. Here’s why users choose to provide liquidity:
- Passive income generation: Earn continuous returns simply by holding and allocating assets.
- Real-time access: Unlike some DeFi protocols with lock-up periods, Gate.io allows instant deposits and withdrawals.
- No additional fees: There are no charges for adding or removing liquidity.
- Enhanced market efficiency: Your contributions help reduce slippage and improve trade execution for all users.
- Dual-sided rewards: Earn both trading fee distributions and bonus tokens funded by GT buybacks.
These benefits make liquidity provision an attractive option for both new and experienced crypto investors seeking diversified income streams.
Final Thoughts: Seize the Opportunity While It Lasts
The addition of 25,740 EPK in limited-time rewards presents a compelling opportunity for those interested in maximizing returns from the EPK/USDT pool. With active trading volume increasing and a robust reward structure in place, now is an ideal moment to get involved.
As Gate.io continues expanding its AMM offerings, early participants stand to gain not only immediate rewards but also valuable experience in next-generation trading models.
Whether you're exploring automated market makers for the first time or looking to optimize your yield strategy, the current incentives make this a low-barrier entry point into advanced crypto finance.
👉 Start exploring high-reward liquidity opportunities now.
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