WYNNovation: Protocol Owned Liquidity

WYND DAO will continue to innovate in Cosmos DeFi and we are excited to announce Protocol Owned Liquidity (POL).

POL is liquidity that is supplied and owned by a DAO or by multiple DAOs/teams. Below is a simple illustrative example:

In the example above, the DAOs from WYND and Juno agree to provide liquidity to the WYND/JUNO pool on WYND DEX in equal value amounts of each project’s token. Each party will retain 50% ownership of the jointly supplied LP position which can later be returned to each party.

The LP position would be jointly owned by both DAOs, and the liquidity may be bonded to earn LP incentives as revenue for both DAOs. Earned incentives would be split 50/50 and these incentives would be sent back to the treasury of each DAO.

POL represents a source of long-term income for all parties involved. The WYND incentives earned by other DAOs can be staked to influence gauge voting in the future, thus creating a sustainable and reliable source of incentive allocation compared to external incentives. Finally, POL has the potential to significantly increase pool depth on many trading pairs and increase the TVL on WYND DEX.

We are currently in talks with several DAOs and teams who are interested in Protocol Owned Liquidity and we look forward to attracting more protocols and DAOs to participate in WYND DEX!