Hi there! I’ve just started my journey into DeFi and would like some help. I’ve participated in a liquidity pool on Balancer. Can someone help me understand how would I get my share of fees from the pool? For example are they paid in BAL tokens? If so, is there a frequency to distribution/ should I claim these from a specific place?
Apologies if the questions are basic. TIA.
Hi there
Great you made your first big step into DeFi by deploying liquidity into a pool at Balancer - great choice!
You earn trading fees directly on your position. After investing into a pool you receive BPTs (Balancer Pool Tokens) which are like a receipt to your investment.
Make sure you stake those BPTs if the option for the pool you invested on exists (check on the pool page if there is a stake button).
Also this older but still valuable video might help you get into how to better understand the concepts behind Balancer: What is Balancer? Crypto Index Funds and BAL Explained with Animations - YouTube