What is an LP token?
When you participate in Uniswap’s pools as a liquidity provider, you automatically receive special LP (Liquidity Provider) tokens. They represent your contribution and allow you to claim rewards from the pool. You can take these LP tokens and deposit (stake) them in SpaceSwap pools. That’s how the protocol confirms your participation and starts rewarding you with MILK2 coins. The longer you hold LP tokens in SpaceSwap pools, the bigger your earnings grow.