Updated on 31st of December, 2021.

If you’re unfamiliar with Osmosis then you have stumbled upon a goldmine. Osmosis is the first DEX in the Cosmos Ecosystem. Aside from it’s amazing average pool APR, which is around 150% APR. Osmosis’ true value comes from it’s sophisticated technology, strong development team and amazing community. Osmosis currently allows free, feeless transactions on it’s dApp. It also has a daily payout of rewards from all your Pools. This means that with the average 150% APR, you can realistically see 346.79% APY! This is assuming you compound your daily rewards. Remember APY percentage is calculated with APR and compounding frequency. Because of the lack of fees, this means regardless of the reward quantity you can compound it absolutely free. While an APY of over 300% is extremely impressive. There are a quite few pools on Osmosis that have possible APY’s of over 1000%!

Liability, Risk and Foreword:

This is not financial advice, you should not follow the guides of just about anybody on the internet, without considering the possible risks involved. I personally provide Liquidity in the Pools listed below. But because I do, does not mean you should too. This post is not a guide for those who are unexperienced in DeFi, and I am not liable for any actions you take.

Please acknowledge this and take some time to consider all investments you make, whether on Osmosis or elsewhere. Inexperience can be scary, but you won’t learn by just following others. Make sure you educate yourself and learn confidence in your own decisions.

Making the most of Osmosis: Which Pools are worth considering

When you use Osmosis for the first time you might be overwhelmed with the number of pools available. In order to simplify your choice I’ve decided to share my favorite pools on the network! The Pools I’ve chosen have been chosen in consideration of both their APR, and the potential value of the tokens in it. Because of Crypto’s nature not all tokens will experience the same success as others. Even in an Ecosystem as tight-knit as Cosmos.

Pool #1 : OSMO / ATOM

URL: https://app.osmosis.zone/pool/1
Stats: https://info.osmosis.zone/pool/1
APR: 104.28%
APY(Daily Compounding): 183.29%

The ATOM / OSMO Pool is by far the best pool to consider providing a portion of your capital to. It’s a 50:50 pair of both Cosmos’ Native Token ATOM, and Osmosis’ Native Token OSMO. Both of these tokens are really strong on their own. Pool #1 allows ATOM holders, who would overwise be earning an APR of ~10% to make far more from their tokens. The rewards are paid in OSMO. Currently there is no External Incentives.

Pool #5: OSMO / DVPN

URL: https://app.osmosis.zone/pool/5
Stats: https://info.osmosis.zone/pool/5
APR: 103.20%
APY(Daily Compounding): 180.26%

I consider this pool a good entry. Sentinel, the project behind DVPN is quite a great investment in my opinion. This pool is currently externally incentivized meaning that not only will you earn OSMO, you will also earn DVPN too. Personally I use this as a chance to compound the OSMO reward and then withdraw the DVPN to Keplr so that I can stake it. Staking DVPN is a great choice, although less rewarding compared to a Liquidity Pool, the rumor of a potential airdrop for DVPN Stakers alone is enough to get me staking.

My confidence in DVPN’s future value is so high. I’d recommend you check out this article, analyzing current market to predict a price of 1$ for DVPN.

Pool #571: OSMO / BCNA

URL: https://app.osmosis.zone/pool/571
Stats: https://info.osmosis.zone/pool/571
APR: 126.15%
APY(Daily Compounding): 252.30%

Pool #573: OSMO / BTSG

URL: https://app.osmosis.zone/pool/573
Stats: https://info.osmosis.zone/pool/573
APR: 337.91%
APY(Daily Compounding): 2789.17%

Pool #601: OSMO / CMDX

URL: https://app.osmosis.zone/pool/601
Stats: https://info.osmosis.zone/pool/601
APR: 362.01%
APY(Daily Compounding): 3568.12%

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