๐ŸŒฑProtocol Owned Liquidity

Enhancing Vault Stability

The majority of fees are rewarded to the gentlemen (LPers), who play a crucial role in maintaining the constant leverage ratio. However, 10% of all fees collected are allocated to the protocol itself, allowing it to function as a liquidity provider. Protocol owned liquidity (POL), offers a distinct advantage over traditional liquidity provisioning: POL is permanent and will never withdraw. Over time, as the vault matures, POL has the potential to grow, thereby bolstering the vault's stability.

Last updated