Liquidity Mining Policy


LAST REVISED ON: September 12, 2022


Campaign Eligibility

In order to be eligible to participate in liquidity mining campaigns, you must:


Register through the Hummingbot miner’s app at https://miner.hummingbot.io or https://dminer.hummingbot.io enable data sharing by providing a read-only API key and/or trading wallet addresses, comply with all of the Terms and Conditions outlined on this Site, be able to trade in the underlying tokens consistent with the laws of your local jurisdiction.


CoinAlpha, Inc. (“CoinAlpha”), the creator and administrator of Hummingbot liquidity mining campaigns, reserves the right to disqualify participants should they display attributes of misconduct, or for any other reason, at CoinAlpha's discretion.


Liquidity Mining Payments

Qualified participants will be eligible to receive compensation in accordance with each liquidity mining campaign’s schedule of Liquidity Mining Payments, which will be based on each participant’s trading activity (in particular, orders placed and their sizes and spreads) in the tokens subject to the liquidity mining campaign.


Liquidity Mining Returns

Liquidity mining returns as displayed on this site or any Hummingbot site (including https://hummingbot.io, https://miners.hummingbot.io, and https://docs.hummingbot.io, https://dminer.hummingbot.io) do not represent and are not intended to represent a participant's portfolio return or expected portfolio return. They are a measure of liquidity mining payments available compared to the eligible orders submitted by participants. In particular, they do not take into account a participant's trading gain or loss, any transaction fees that a participant may have incurred, or any changes in portfolio value as a result of changes in the market value of the tokens relevant to the liquidity mining campaign.


Furthermore, the liquidity mining return figures are calculated based on historical data; consequently, they are not a guarantee of future return.


Lastly, the liquidity mining return figure may fluctuate due to relative changes in the value of base tokens, quote tokens, as well as the value of the tokens used for the mining payments.


No Guarantee of Profits

CoinAlpha makes no guarantees or claims that participation in liquidity mining campaigns will be profitable, however measured, for the user. Users determine and set their own parameters for their software usage and possible trading and, relatedly, take on any and all associated risk, including short-term gain or loss, any tax consequences, or loss of funds. CoinAlpha makes no guarantees that use of Hummingbot will bring the user any form of profit or “reward,” including in the form of payment, the volume of tokens, or the net value of user account as measured in fiat currencies or any cryptocurrency. By taking part in a liquidity mining campaign, each user affirms full responsibility for any consequences stemming from participation.


Hummingbot is experimental, open source software and you use it at your own risk. Please review the Apache 2.0 license.


Verification for Reward Amounts Exceeding $600 in Calendar Year

In order to comply with U.S. IRS requirements related to the distribution of payments, additional verification and information will be required from U.S. persons who are eligible for rewards distributions in excess of $600 in a calendar year. If a user is compensated by CoinAlpha or Sponsor (the token issuer or exchange that has hired CoinAlpha to conduct a Liquidity Mining Campaign, hereafter “Sponsor”) as part of a liquidity mining campaign, the user expressly agrees that they are an independent contractor, and that nothing in this agreement creates any employer-employee agreement between the user, CoinAlpha, a Sponsor, Exchange, or any other party. Any such users may be required to provide:


- Name and address


- Confirmation of U.S. tax identification through form W-9


This information will be used solely to prepare a U.S. IRS Form 1099-MISC, Miscellaneous Income form for the participant. CoinAlpha reserves the right to withhold payments to the user in excess of $600 subject to the receipt of the above information.


Note that if a user does receive compensation for providing liquidity services as part of a liquidity mining campaign, such compensation shall be deemed payment to an independent contractor and does not create any employer-employee agreement between the user, CoinAlpha, a Sponsor, Exchange, or any other party.


Non-US persons: CoinAlpha will typically not prepare a Form 1099 for (1) non-US persons who (2) did not perform any liquidity mining in the United States during the campaign period. In order to qualify for this exemption, non-US persons must confirm to CoinAlpha that it is a non-U.S. person and that no liquidity mining, whether self- or cloud-hosted, was performed in the United States. CoinAlpha may require the non-US persons to provide documentation proof to qualify for this exemption.


CoinAlpha will not make payments or provide services if you are an individual who is sanctioned by the Office of Foreign Assets Control (OFAC), or otherwise located in any country, region, or jurisdiction sanctioned by OFAC or another U.S. agency. OFAC's programs are dynamic, but a representative sample of jurisdictions is set out in the Terms of Use.


Not Financial, Legal, or Tax Advice

The content of this Site does not constitute financial, investment, legal, or tax advice. You (the reader of this disclaimer, as well as any user of the Hummingbot software) are solely responsible for conducting any legal, accounting, or due diligence review before determining whether to download and use this open-source software and/or participate in any Liquidity Mining Campaigns. You should obtain investment and tax advice from the appropriate advisers before deciding to use Hummingbot or participate in any Liquidity Mining Campaigns.


None of the information contained on this Site constitutes a recommendation, solicitation, or offer to buy or sell any digital assets, securities, options, or other financial instruments or other assets, or to provide any investment advice or service. The information contained in this Site has been prepared without reference to any particular User’s jurisdiction or location, applicable regulatory authorities, or financial situation, or any other relevant factor that may affect whether a given User can use Hummingbot consistent with any relevant law.


Data Sharing

By participating in a Liquidity Mining Campaign, you are agreeing to share the following information with CoinAlpha and the Sponsor (e.g. the token issuer or exchange that has hired CoinAlpha to conduct the Liquidity Mining Campaign), and their respective affiliates:


Email address


Wallet(s) address(es)


Orders created: base currency, quote currency, fees, price, and size


Orders filled: base currency, quote currency, fees, price, and size


Exchange read-only API keys


When sharing data from Hummingbot, you are solely responsible for configuring what information you agree to share through the Hummingbot log configuration settings (please see example log templates).


Data Monitoring

It is the policy of CoinAlpha to monitor for and prohibit market manipulation and unlawful trading activities. Users are prohibited from using Hummingbot for purposes of market manipulation, including but not limited to wash trading, spoofing, pump-and-dump schemes or any other practices intended to mislead others by artificially affecting market activity.


In the course of providing the Services, CoinAlpha may monitor and detect “suspicious activity” in the form of potential market manipulation, including activity conducted by Hummingbot accounts that have opted-in to liquidity mining campaigns and associated data collection. Based on any “suspicious activity" data, CoinAlpha may determine whether any additional steps are required, including reporting this activity to the Sponsor or the relevant exchange. Throughout the process CoinAlpha may document when and how this monitoring is carried out and the rationale for handling the activity.


CoinAlpha reserves the right, at its sole discretion, to share user-provided information, as well as analysis and reports about potential market manipulation, to the Sponsors. By participating in Liquidity Mining Campaigns, you consent to such sharing, acknowledge that it may have an impact on your accounts and activity, disclaim any potential liability against CoinAlpha or Hummingbot or Sponsor or any affiliates, and waive any potential claims against CoinAlpha or Hummingbot or Sponsor or any affiliates.


For additional terms related to the sharing and use of your data, please review the following:


CoinAlpha’s Privacy Policy


Hummingbot Apache License 2.0


Hummingbot Data Collection Policy


Hummingbot Website Terms of Use


Each Sponsor’s respective Privacy Policy that relates to your use of Hummingbot


Compensation Disclosure

CoinAlpha may receive compensation from Sponsors in exchange for providing Hummingbot-related software and services, including trading monitoring, liquidity mining campaigns and technical advice, and technical support.


CoinAlpha Use of Hummingbot Miner and Services

CoinAlpha, Inc. and its employees, agents, consultants, officers, or affiliates, may themselves utilize this Site, any other Hummingbot site or services, or the Hummingbot Miner platform, and may participate in a given liquidity mining campaign. This usage may be for testing and quality assurance purposes and may also be for other business reasons or personal purposes. The other policies and prohibitions described in this Policy also apply to CoinAlpha's own usage of the Site and services.


CoinAlpha, Inc. has received compensation (in the form of HBOT tokens) from the Hummingbot Foundation for use as a reward in relation to certain liquidity mining campaigns.


Risk Warning

Cryptocurrencies and digital assets are subject to high market risk. CoinAlpha is not responsible for any direct, indirect or consequential losses as a result of your participation in this Liquidity Mining Campaign. Please exercise caution before deciding whether to participate and transact in tokens.


Legal Disclaimer

CoinAlpha makes no claim or endorsement as to the regulatory classification of any token, including tokens paid out in this Liquidity Mining Campaign. Before signing up for this campaign, users should check with appropriate advisers and authorities to ensure that receipt, purchase and/or sale of these tokens is consistent with the rules of their relevant legal jurisdiction.


Users are prohibited from utilizing Hummingbot to trade any tokens that they are prohibited from buying, selling, or trading by the rules of their local jurisdiction. By using Hummingbot and participating in any liquidity mining campaign, users are acknowledging that they are allowed, consistent with any applicable laws and regulations, to use Hummingbot to buy, sell, trade, or receive as payment any tokens they buy, sell, trade, or receive.


Hummingbot is open-source software available globally and CoinAlpha makes no assurances or representations about whether a given use of the software is permitted in their local jurisdiction -- or about the regulatory classification of any tokens used or traded with Hummingbot or on Hummingbot-linked exchanges. Users are responsible for consulting with their legal advisors. By downloading Hummingbot, users acknowledge that neither CoinAlpha nor any Hummingbot developers are responsible for any legal or economic consequences stemming from their use of the trading bot or liquidity mining campaign participation.


Updating this Policy

CoinAlpha reserves the right, at its sole discretion, to update, modify, and/or make any changes to the terms of this policy, including in order to improve Services or comply with any applicable law, regulations, or orders.


Upon updating this policy, CoinAlpha will give notice to its Users on this page and possibly within the Software and/or - as far as technically and legally feasible - sending a notice to Users via any contact information available to CoinAlpha. Should the changes affect processing activities performed on the basis of user consent, CoinAlpha shall collect new consent from the user, where required.


It is strongly recommended to check this page often, referring to the date of the last modification listed at the top of this page.

DISCLAIMER: The websites located at https://coinalpha.com, https://miner.hummingbot.io (collectively, the "Site") are copyrighted works belonging to CoinAlpha, Inc. ("Company", "us", "our", and "we"). Certain features of the Site may be subject to additional guidelines, terms, or rules, which will be posted on the Site in connection with such features. All such additional terms, guidelines, and rules are incorporated by reference into these Terms. These terms of use (these "Terms") set forth the legally binding terms and conditions that govern your use of the Site. By accessing or using the Site, you are accepting these Terms (on behalf of yourself or the entity that you represent), and you represent and warrant that you have the right, authority, and capacity to enter into these terms (on behalf of yourself or the entity that you represent). You may not access or use the Site or accept the terms if you are not at least 18 years old. If you do not agree with all of the provisions of these terms, do not access and/or use the Site.