Add Liquidity on Solana Guide

Introduction

The DEXArea Solana Add Liquidity tool allows you to add liquidity to existing Raydium pools directly from your browser.

Supported pool types:

  • CPMM (Standard AMM)
  • Legacy AMM v4
  • CLMM (Concentrated Liquidity Market Maker)

All actions are signed in your wallet and executed on-chain. DEXArea never holds custody of your funds.


1. What This Tool Does

  • Adds liquidity to existing Raydium pools
  • Supports CPMM, Legacy v4, and CLMM pool types
  • Select pool from your wallet (first in the community)
  • Automatically loads pool information when selected
  • Mints LP tokens (CPMM & v4) or liquidity positions (CLMM)
  • Handles full wallet-based transaction flow

2. Transaction Structure

Adding liquidity requires one wallet confirmation:

  • Token transfers
  • LP token minting (CPMM / v4)
  • Position minting (CLMM)
  • Network fees
Wallet Confirmation Prompt

Wallet confirmation prompt for adding liquidity


3. Quick Start

  1. Connect wallet
  2. Select network (Mainnet or Devnet)
  3. Select pool from your wallet
  4. Review pool information
  5. Enter token amounts
  6. Confirm the transaction in your wallet

4. Pool Types & Liquidity Behavior

CPMM (Standard AMM)

  • Provide both tokens according to pool ratio
  • Receive LP tokens
  • Earn fees proportionally
  • Liquidity active across entire price curve

Best for passive liquidity providers.


Legacy AMM v4

  • Similar to CPMM
  • Requires Market ID at pool creation stage
  • Receive LP tokens
  • Slightly more complex structure

CLMM (Concentrated Liquidity)

CLMM pools operate differently.

Instead of providing liquidity across all prices, you:

  • Define a price range
  • Provide liquidity within that range
  • Receive a liquidity position NFT

Important:

If market price exits your defined range:

  • Your liquidity becomes inactive
  • You stop earning trading fees
  • You remain exposed to token price changes

CLMM offers higher capital efficiency but requires active management.


5. Required Inputs

Add Liquidity Interface

Add Liquidity Interface

Pool Selector

Select a pool from your wallet to add liquidity to. This feature is first in the community—no need to manually enter pool addresses.

When you select a pool, the tool automatically loads:

  • Token pair
  • Pool type
  • Current ratio
  • Fee tier
  • Liquidity data

Token Amounts

  • Enter base amount → quote auto-calculates
  • Enter quote amount → base auto-calculates

For CLMM pools:

  • Range parameters must match pool requirements

6. What You Receive

Depending on pool type:

  • CPMM / Legacy v4 → LP tokens in wallet
  • CLMM → Liquidity position NFT

These represent your ownership share and are required for removing liquidity later.

On success, the result modal shows liquidity added, LP tokens received, transaction hash, and pool information:

Add Liquidity Result Modal

Add liquidity result modal


7. Risks & Important Considerations

Impermanent Loss

If token prices diverge significantly, your position value may be lower than simply holding tokens.

CLMM Range Risk

If price exits your range:

  • Liquidity becomes inactive
  • No fees are earned

Smart Contract Risk

All DeFi pools carry smart contract risk. Provide liquidity only to trusted pools.

Market Volatility

High volatility increases both opportunity and risk.


8. Troubleshooting

Common issues:

  • Pool not found in wallet
  • Insufficient token balance
  • Insufficient SOL for network fees
  • Slippage errors
  • Network congestion

Increasing priority fee may help during congestion.


9. FAQ

What is impermanent loss? Impermanent loss occurs when token prices change relative to each other after you provide liquidity, potentially reducing your position value compared to holding tokens separately.

Can I remove liquidity anytime? Yes. You can remove liquidity at any time and receive tokens based on current pool conditions.

How do I earn fees? You earn a portion of trading fees proportional to your share of the pool.

Does DEXArea hold my funds? No. All transactions are executed directly on-chain from your wallet.