DexArea Logo DEXArea Wiki

How to Burn Liquidity on Solana

Introduction

The DEXArea Solana Burn Liquidity tool lets you permanently destroy (burn) your LP tokens from existing Solana liquidity pools directly from your browser.
All actions are handled by your connected wallet and confirmed on-chain (non‑custodial).

1. What It Does

  • Burns LP tokens from existing Solana liquidity pools
  • Permanently destroys your share of the pool
  • Does NOT return tokens - this is different from removing liquidity
  • Supports Raydium Standard AMM (CPMM) and Legacy AMM v4 pool types
  • Automatic pool detection loads pool information when you enter the pool ID

2. Why Use DEXArea’s Burn Liquidity Tool

  • Simple interface: No code required - just connect wallet, enter pool ID, specify LP token amount
  • Universal support: Works with Raydium Standard AMM (CPMM) and Legacy AMM v4 pools
  • Automatic pool info: Pool details load automatically when you enter the pool ID
  • Permanent destruction: Useful for reducing supply or exiting positions completely

3. Quick Start

  1. Connect wallet containing the LP tokens you want to burn
  2. Enter the pool ID - pool information loads automatically
  3. Enter LP token amount you want to burn (this permanently destroys them)
  4. Review and confirm the transaction in your wallet
  5. LP tokens are destroyed and your pool share is permanently reduced

4. Prerequisites

  • Pool ID of the liquidity pool you want to burn liquidity from
  • LP tokens in your wallet representing your share of the pool
  • SOL in your wallet for platform fee (0.06 SOL) + transaction fees

5. When to Use

  • Reduce supply when you want to decrease the total LP token supply
  • Exit positions completely without receiving tokens back
  • Strategic tokenomics adjustments
  • Emergency actions where you need to destroy tokens immediately

6. Inputs

📸 Screenshot – Solana Burn Liquidity Interface

Burn Liquidity Interface

Burn Liquidity Interface

Required Fields

  • Pool ID: Enter the unique identifier for the liquidity pool When you enter the pool ID, the tool automatically loads pool information including token names, current ratios, and pool type.

  • LP Token Amount: Amount of LP tokens to burn (permanently destroy) Enter the amount in human-readable units. This determines how much of your pool share will be permanently destroyed.

Pool Information (Auto-loaded)

When you enter a pool ID, the tool automatically displays:

  • Pool name and type
  • Token symbols and addresses
  • Current pool ratio between base and quote tokens
  • Your LP token balance in the pool
  • Warning that burning will not return any tokens

Optional Settings

  • Priority Fee: Optional tip to validators for faster processing Higher fees can speed up confirmation during network congestion.

7. Confirmation Step

After filling the form, your wallet will prompt you for two separate confirmations:

First Transaction - Platform Fee

  1. Fee confirmation: Your wallet prompts you to sign the 0.06 SOL platform fee transaction
  2. This transaction only handles the platform fee payment

Second Transaction - Burn Liquidity

  1. Liquidity confirmation: After the fee transaction confirms, your wallet prompts you to sign the burn liquidity transaction
  2. This transaction includes:
    • LP token burning from your wallet (permanent destruction)
    • Pool share reduction (no tokens returned)
    • Network fees in SOL

📸 Screenshot – Wallet Confirmation Prompt for burning liquidity

Wallet Confirmation Prompt

Wallet confirmation prompt for burning liquidity

8. Results

On success, the result modal shows:

  • Liquidity burned successfully with the exact amounts
  • LP tokens destroyed (permanently removed from circulation)
  • Transaction Hash for verification on explorers
  • Pool information including your remaining share percentage
  • Confirmation that no tokens were returned

You can verify the burned LP tokens are no longer in your wallet balance once the transaction confirms (typically a few seconds).

📸 Screenshot – Burn Liquidity Result Modal

Burn Liquidity Result Modal

Burn liquidity result modal

9. Important Notices / Risks

Pool Type Considerations

  • Raydium Standard AMM (CPMM): Constant Product Market Maker pools with predictable burning behavior
  • Legacy AMM v4: Advanced AMM pools with enhanced features and potentially different burning mechanics
  • Pool compatibility: The tool automatically detects and works with both pool types

10. Troubleshooting & Advanced Tips

Common Issues

  • “Pool not found” — Check the pool ID and ensure it exists on the selected network
  • “Insufficient LP tokens” — Ensure you have enough LP tokens in your wallet to burn
  • “Insufficient SOL” — Add SOL to your wallet for platform fee (0.06 SOL) + transaction fees
  • “Transaction failed” — Check network congestion and try increasing priority fee

11. FAQ

What happens to my LP tokens when I burn liquidity? Your LP tokens are permanently destroyed (burned) when you use this tool. They cannot be recovered and no tokens are returned from the pool.

Is burning liquidity the same as removing liquidity? No, they are completely different actions. Removing liquidity returns tokens to you, while burning liquidity permanently destroys LP tokens without returning anything.

Can I burn partial liquidity? Yes, you can specify any amount of LP tokens to burn, allowing you to destroy only a portion of your LP token holdings.

Why would I want to burn liquidity instead of removing it? Burning is typically used for strategic purposes like reducing supply, emergency situations, or when you want to exit a position without receiving tokens back.

What if the pool has low liquidity? Low liquidity pools may experience higher transaction costs, but burning will still work as expected.

Can I burn liquidity from any pool? You can only burn liquidity from pools where you have LP tokens representing your share.

What if my transaction fails? If the first transaction (fee) fails, you won’t be charged. If the second transaction (burn liquidity) fails after the fee transaction succeeded, you will have paid the 0.06 SOL platform fee but no liquidity will be burned. Contact support if this happens.

🔗 Related Topics