Lifinity Protocol - The Basic Concept (III.)

in hpl •  last year 

I am still not sure whether the Lifinity Protocol is highly reliable and has enough potential for further growth and long-lasting sustainability.
Therefore, at this point, it is necessary to study the internal structure in order to comprehend this protocol and then decide whether to invest in its native token or NFTs, or to provide liquidity through LP pools.
As a result, this series of posts about the Lifinity Protocol is intended for a deep understanding and study of the general DEX revenue structure and any unique features that Lifinity offers

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https://lifinity.io/

LP Rewards of Lifinity

LPs receive 85% of trading fees, and 15% is retained as a protocol fee.
LPs retain all Market Making Profit.

MMP is the total profit and loss from market making and is measured by comparing the total value of a pool’s assets (excluding trading fees) to their value if they had not been traded and instead were just held. While Lifinity never takes MMP from LPs, when the POL for a pool is greater than its target liquidity, Lifinity treats its POL’s MMP as revenue if it is positive.

MMaaS and LaaS

Lifinity offers two services to protocols looking to efficiently create robust liquidity for their tokens: market making as a service (MMaaS) and liquidity as a service (LaaS). These services are designed for protocols that require a custom oracle for Lifinity to be able to market make for their tokens.

In MMaaS, projects provide the assets that Lifinity will use to market make and Lifinity keeps all trading fees while projects retain any market making profit (MMP).

In LaaS, Lifinity provides the assets used for market making and takes on their price risk. In exchange, projects compensate Lifinity with whatever asset of their choosing based on the amount of volume generated.

Past Posts About Lifinity Protocol

Lifinity Protocol - The Basic Concept
Lifinity Protocol - The Basic Concept (II.)

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