Playing a crucial role in their lifecycle, this mechanism enables new Credit Buckets to be launched as soon as they accumulate enough liquidity to provide loans for margin trading with acceptable fees.

The liquidity mining process consists of two different phases: the Accumulation stage which is later followed by the Stabilization stage.

During the Accumulation stage, Lenders supply liquidity to the new Credit Bucket and earn ePMX rewards in exchange.

Lenders' ePMX rewards depend on the size and duration of their deposits. The more liquidity they supply to a Bucket and the earlier, the more liquidity mining rewards they can earn. However, it's important to highlight that Lenders will lose all their earned ePMX if they withdraw their liquidity before the Bucket's launch.
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​NOTE: Both the Accumulation and Stabilization stages add up to the deposit duration, so Lenders will still get ePMX rewards even if they deposited close to the end of the Accumulation stage, however, their rewards will be fewer than for Lenders who contributed shortly after the Bucket had been deployed (see Bucket stages explained).

While lending functionality is enabled in this stage, Traders can't use the Bucket to borrow funds for margin trading. This is important to avoid draining the Bucket's liquidity and keep the accumulation going until the end of the stage.

If the Bucket can't accumulate enough liquidity by a specified deadline, the liquidity mining process will fail, and the Bucket won't get launched. In this case, Lenders can either withdraw or reinvest their deposits to save a portion of their collected ePMX rewards.

Otherwise, the Accumulation stage ends and the Bucket launches when a specific amount of liquidity is collected by the deadline. As a result, liquidity mining progresses to the Stabilization stage.

During the Stabilization stage, Traders can now borrow funds from the Credit Bucket, and Lenders start earning interest on the liquidity they provide for margin trading. In their turn, Traders can also earn ePMX rewards. Margin Traders will receive rewards on a per-second basis, and Spot 1X Traders’ tokens are distributed periodically.

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​​IMPORTANT: Once the Bucket moves to the Stabilization stage, Lenders' liquidity will be locked and they can't withdraw it. On the other hand, Lenders depositing assets into Buckets in the Stabilization stage have the flexibility to withdraw their funds at any time. However, they do not earn any ePMX rewards related to liquidity mining.

During the Liquidity Mining Program, in addition to ePMX tokens, Lenders will receive a guaranteed reward of 7% Annual Percentage Yield (APY) in stablecoins for any bucket during both Accumulation and Stabilization stages.
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NOTE: This reward will only be distributed once the Stabilization stage is completed. Also, please be aware that withdrawing your liquidity before the start of the Stabilization stage will result in no reward.
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For detailed guidance please see How to earn as a Lender.