Want to earn some $KAT by LPing on @katana via Sushi? 🍣⚔️ We know LPing in v3 can feel tricky, so let’s break it down properly 🧵👇 Degens, this is not for you since you already know the drill.
Sushi v3 is a concentrated liquidity AMM. Think of it like this: In classic v2, your liquidity is spread evenly across the full price scale from 1 to 10, even if the price mostly trades between 4 and 6 in the timeframe you're watching. So when the price is at 1,2,3 or 7,8,9,10, a big part of your capital isn’t earning fees. Most of it just sits idle.
Hence, in v3, you choose the range, so if you believe the price will trade between 4 and 6, you can concentrate your capital there for max efficiency. ✅ You choose a price range where your liquidity is active ✅ You earn fees only while the price stays in that range ✅ Narrower = more efficient use of capital ✅ Wider = safer but less efficient Now that we have the basics covered, let's go through the tutorial👇
Step 1: Choose a rewards pool You can start from two places: 🔗 : shows farmable pools with $KAT and/or $SUSHI rewards 🔗 : gives you full control to set range + fee tier We’ll use the second one for this guide.
Step 5: Set your price range This part might feel intimidating at first, but it’s simple: Ask yourself, “What do I think this token will trade between?” That’s your min and max. For stables, if AUSD = 1.00, a tight range like 0.995–1.005 gives max capital efficiency. ⚠️ If price goes out of range, you stop earning fees until it returns. For volatile tokens, give more room based on recent price action.
Step 6: Use presets or drag manually You can set your price range by: 🎛️ Dragging the sliders ⚙️ Or choosing a preset: • Full Range – always in range, less efficient (like classic v2) • ×÷2, ×÷1.2 – tighter, more efficient • Single-sided – deposit only one token Choose based on your view. Either way, you’re one click away from LPing.
Step 7: Add liquidity After setting your range, Sushi shows you: • Token Ratio – it won’t always be 50/50 (depends on the range) • Capital Efficiency – how optimized your range is • Estimated APR – based on recent fees (not IL-adjusted) Enter how much to deposit → Approve both tokens → Preview → Confirm in wallet ✅
Step 8: Done ✅ You’ll get a confirmation + can view onchain.
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