# Providing Liquidity

Tokan Exchange enables users to generate earnings via liquidity provision. By contributing liquidity to the incentivized gauges, individuals can secure a portion of the rewards designated for those gauges, proportional to the volume of liquidity they have contributed.

### Rewards

Liquidity Providers **do not** receive swap fees. Their returns come from the `TKN` emissions allocated to the gauge they are staked in.

All swap fees are distributed to the veTKN holders that voted for the corresponding gauge; this leads to the pool generating more swap fees meaning a higher return for veTKN holders. This also ensures that votes are allocated to productive pools which maintains the long-term sustainability of Tokan Exchange.

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[Adding Liquidity](/getting-started/guides/adding-liquidity.md)
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