Proposal 51-2 Deploying treasury funds to seed V4 protocol-owned liquidity (POL)

Sufficient liquidity is crucial for trading protocols, as deeper pools can support higher open interest. However, acquiring and maintaining liquidity can be costly and unstable if solely reliant on liquidity providers (LP). Therefore, instead of “renting” all liquidity from external sources, we are exploring using more sustainable approaches to promote growth.

We propose to add “Protocol Owned Liquidity” (POL) on V4 and use the funds raised 2 from previous rounds to seed the initial POL; furthermore, 50% of V4 protocol income will be continuously used to add liquidity as POL. The growing POL will help the protocol to become self-sustainable gradually.

Upon the V4 launch, a certain amount of funds will be added as protocol-owned liquidity, and the rest will be added phase by phase, depending on the operation status and market situation. The funds will include:

5,977,000 USDC 105 ETH 9.276 BTC 945 BNB For - Agree to deploy DAO’s treasury funds to seed V4 protocol-owned liquidity Against - Disagree to deploy DAO’s treasury funds to seed V4 protocol-owned liquidity