Today, I added some BYT tokens as incentives to liquidity providers for the SWAP.HIVE:SWAP.BLURT Tribaldex pool. That pool is now incentivised with both BYT and BLURT tokens.

I have mentioned before about the lack of a BYT swap pool, and I still don't see a good reason for an asset-backed token to have a pool. Stablecoins have many such pools, but they serve a different function, as money, whereas BYT is closer to a managed fund.

Spending significant funds to incentivise any such BYT pool strikes me as pointless unless it becomes a distribution channel. It is possible to construct a smart contract that essentially pays out rewards through a pool mechanism. However, given the current size of the BYT fund, the costs of such a construct still strike me as uneconomical. If BYT had ten times the fund value, then it could be an option. Even then, it still feel it is an unnecessary dependence on a pool that could be used as an attack vector.

Having said all that, adding a modest amount of BYT tokens as incentives does serve a marketing purpose to place such tokens to users who may still not be aware of this BYT program. Just 200 BYT have been allocated to this, which is only about 0.4% of the current tokens circulating. There is no cost to adding incentives to a Tribaldex pool that already has the "distribution module" activated.

The incentive period has to be the same as the pool's smart contract, hence will last for 200 days, giving a daily distribution of just 1 BYT. Because there is also a "bonus curve", early investors who hold their LP-tokens will see their share of the distributions rise slowly. I hope this is enough to gain some attention without affecting the program's earnings.

You can see the pool, either on Tribaldex (just search for BLURT) or, a better interface, on Beeswap.

I notice that the addition of BYT tokens has increased the pool's APR from about 55% to 62%. Also note that the BYT fund does have a stake in this pool, so is currently earning both BLURT, and now BYT, on a daily basis.