Calculating How Many Tokens Your LPs are Worth
Many people ask about how to find out the value of their LP tokens. Here we will try to provide that info for you. A little technical, but pretty easy once you understand how it works.
LP tokens are representations of your share of the total liquidity pool that you guy after providing liquidity of two tokens For example, in the PRV2-BNB liquidity pool, you need to add using PRV and BNB. In other words, in order to find out how much your tokens are worth, you just need a few variables.
- The number of LP tokens you have for the specific pool you are calculating for.
- The total number of LP tokens in circulation.
- The current amount and price of tokens in the pool.
With these three variables, you can calculate the value of your LP tokens. Let us show you how.
Which also means that you own 1.4677% of the LP's assets.
This dropdown clearly shows that the assets in this pool are BUSD and PRV. Which means that this is the PRV-BUSD LP. You can repeat the above steps for other LPs and found out exactly how much assets are in each of these LPs.
This pool has 247,612.09520648 BUSD and 11,177.07254118 PRV.
In the example above.