i don't get a point, you contribute in the pool locking your tokens, but they get 'eat' when someone does the conversion using your tokens right? then whats the advantage? a better quote in the conversion rather do it manually on hive engine?
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You add liquidity to a token pair, for example, BEE and SWAP.HIVE... you add both tokens to the pool... people use the pool to swap one to another and vice-versa... Your liquidity isn't "eaten" by others if they exchange from them in both ways... someone buys, other sells... If the price of both tokens is stable, you earn money on transaction fees and on rewards from the pool (if there are any)...
Unfortunately, many times it happens that one token in the pair is constantly going down, which means that you "lose value" and suffer from impermanent loss... But, as I said, it doesn't have to be like that... ;)
Also, in some pools, you have more liquidity than on the "regular market", and you can exchange bigger chunks of tokens...