Sweet Protocol Economics
Over the past 2 years we have witnessed many different DEFI projects launch. While many people have benefited from these projects there have been instances of projects failing due to actions from the same people who benefitted from the project's token.
A strategy of mercenary liquidity has developed within the DEFI space. With this strategy entities or individuals provide liquidity to a project, mine the tokens, dump the tokens and finally pull the liquidity from the protocol. This behaviour has damaging effects to long term token holders and to the project itself. To protect the protocol and its token holders SweetDAO will be implementing 2 strategies.
1) Protocol Owned Liquidity
2) Protocol Bonding