Protocol Owned Liquidity

Overview

friendtech33 pioneered the concept of Protocol Owned Liquidity (POL), ensuring liquidity for FTW holders without relying on liquidity mining incentives. POL manifests itself into several forms: dex based liquidity, and RBS swaps. Furthermore Cooler loans, based on parameters set by governance, provides extremely deep liquidity relative to FTW's market by allowing users to realize the underlying backing. This ensures users and protocols are always able to swap FTW, regardless of market conditions and external events.

Dex POL is held in an FTW/wETH UNI v3 pool. This pool is inteneded to be permanent liquidity, although subject to change via governance.

RBS provides FTW/DAI liquidity. With RBS, the balance between reserves and liquidity is algorithmic, with the goal to optimize the liquidity depth and reserves for robustness and long term market stability.