# Concentrated Incentives (CI) on Saros **Earn real-time, on-chain rewards by actively managing your liquidity.** Concentrated Incentives (CI) is Saros' reward mechanism designed for Saros DLMM Pools. Unlike traditional yield farming or retroactive reward systems, CI enables you to earn rewards instantly and on-chain when your liquidity is within a specified reward zone. This model blends the familiarity of AMM’s yield farming with the precision of concentrated liquidity, offering smarter, more active ways to earn. ## What Are Concentrated Incentives? Concentrated Incentives are real-time incentives distributed to Liquidity Providers (LPs) who actively position their liquidity inside the **reward range** — a zone around the current market price (called the active bin). As the price changes, the reward range moves with it, encouraging LPs to stay aligned with the market. Key differences from traditional rewards programs: * **No waiting:** Rewards are distributed continuously, without delay * **Fully onchain:** Transparent, permissionless, and auditable * **Market-aligned:** Designed to support liquidity depth at the current price ## How Does CI Work? Each Saros DLMM Pool has a **reward range**, defined as a number of bins (price intervals) around the **active bin**. This range usually spans between **1 and 11 bins**, depending on the pool. If you deploy liquidity within that range, you’ll receive a share of the pool’s rewards — **proportional to how much liquidity** **you contribute** within the reward zone. ## Example: * You provide **50% of the liquidity** in the reward range → you receive **50% of the rewards** * You provide **20% of the liquidity** → you receive **20% of the rewards** As the active bin shifts due to price movements, the reward range also shifts. This real-time rebalancing incentivizes LPs to stay close to the market price, improving efficiency and slippage for traders. ## Why CI Matters CI creates a **dynamic incentive structure** that rewards LPs not just for supplying capital, but for placing it **where it matters most**: around the price users are actually trading at. This leads to: * Better pricing * More efficient swaps * Deeper liquidity at active prices * Better capital utilization for LPs ## Key Benefits of Concentrated Incentives ### 1. Real-Time Rewards No waiting for a weekly or monthly distribution — your liquidity starts earning instantly if it’s in range. ### 2. Adaptive to Price Movements The reward zone follows the market, encouraging LPs to adjust and stay competitive. ### 3. Pool-Specific Configurations Each Liquidity Pool can define its own reward range, allowing tailored incentives to suit different trading pairs or market conditions. ### 4. Improved Liquidity Depth By encouraging liquidity at the current price, CI helps reduce slippage and create better trading experiences for users. ## How to Start Earning with CI on Saros Follow these simple steps to start earning rewards from Liquidity Pools on Saros. #### Step 1: Find a Rewarded Pool Go to the Pools section at[ ](https://saros.xyz/pools). Toggle the button next to the **Pool with rewards** to the right and select a Liquidity Pool marked with a **“Rewards”** tag.
{% hint style="warning" %} Note: On each pool’s page, you can preview reward details such as the reward token, 24h APR, and reward period to get a quick overview before entering a specific pool. {% endhint %} #### Step 2: Add Liquidity After selecting your pool where you want to add liquidity, go to the Create Position section and fill in the following information. 1. **Enter Amount** * You can add liquidity with both tokens (full-side) or just one token (single-side). * Use Auto-fill to automatically calculate the paired token amount based on your selected price range. 2. **Select Liquidity Shape** Refer to the [Liquidity Shape Guide](https://docs.saros.xyz/saros-dlmm/shapes-and-strategies/liquidity-shapes) to understand how each shape works and choose the one that best fits your strategy. 3. **Set the price range** * Click **Select Reward Range** to see the eligible range for rewards. * Or manually use the sliders to adjust the Num Bins (number of bins) to define how your liquidity is spread. Then click **Add Liquidity.**
{% hint style="success" %} **Tips:** You can deposit within the reward range or deposit across a broader range (including the reward range). Your strategy depends on how actively you want to manage your liquidity. * **For passive LPs:** Select a broader range to cover more bins, offering greater flexibility, lower maintenance, and better protection against price fluctuations. * **For active LPs:** Concentrate your liquidity tightly on reward bins to target higher potential rewards. {% endhint %} #### Step 3: Claim Rewards Once your liquidity is deployed, you will start earning rewards instantly based on your share of the pool. You can track rewards in real time and claim them at any time. Go to **My positions** ⇒ Click the **Claim** button. Your reward will be transferred to your wallet once the process is completed.
{% hint style="warning" %} **Note:** * If you remove liquidity, any unclaimed rewards from that position will be sent to your wallet in the same transaction * Reward Range moves with the active bin price, so you may need to rebalance your LP range occasionally to stay within the reward range and maximize your earnings. {% endhint %} ## Pro Tips for Maximizing CI * Use tighter ranges if you're actively managing liquidity\ Adjust your positions when the market moves — the reward range moves with the price * Monitor your bins in the dashboard and consider automating rebalancing with future tools or bots --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://docs.saros.xyz/saros-dlmm/rewards/concentrated-incentives-ci-on-saros.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.