You are viewing a single comment's thread from:

RE: PolyCUB Mechanics Spotlight | Protocol-Controlled Value

Thanks. Hmm, so something like a treasury (an account with no keys) that performs useful actions with the tokens but which tokens cannot be withdrawn from? I'm not sure though how it deepens the liquidity of the token if people cannot buy those tokens from there.

Sort:  

I'm not sure though how it deepens the liquidity of the token if people cannot buy those tokens from there.

They can... If the liquidity is pooled it is for sale (when people perform swaps). The idea is to have a growing liquidity that will never be removed from the pools. This ensures there's gradually enough guaranteed liquidity in the pool for larger swaps and at low slippage rates.