Opportunities brought by Uniswap V3 to governance token distribution along with liquidity mining

1. Introduction to Liquidity Mining and Token Distribution

  1. The first is the fair launch of tokens and community governance, thus to break the traditional disadvantages of ICO and IEO;
  2. The second is providing incentives and subsidies to accumulate users and liquidity in the early stage of the business liquidity mining, like above-mentioned Compound and Sushiswap, subsidizing users who provide liquidity for early lending and trading;
  3. The third is to provide liquidity and price support for the project’s own governance token. It helps form a positive expectation of community development and enhances the booming up process of token.

2. Economic analysis of the governance token distribution with liquidity mining in Uniswap V2

3. Opportunities brought by Uniswap V3 by providing half of liquidity to token distribution

  1. From zero to current price
  2. From a certain price to the current price
  3. From zero to a certain price (lower than the current price)
  4. From a certain price to a certain price (lower than the current price)

3.1. Single fixed price range strategy:

3.2. Multiple fixed price range strategies:

3.3. Variable price range strategies:

4. Conclusion

Reference:

iZUMi Finance: A Multi-chain DeFi Protocol Providing One-Stop Liquidity as a Service; Twitter:twitter.com/izumi_Finance; Discord: discord.gg/izumifinance

Love podcasts or audiobooks? Learn on the go with our new app.

Recommended from Medium

BTCB Trading Competition — Fight for $5 000 with Powerful Traders!

How To Buy Ether

EizperChain Solana P2E Game Exclusive Airdrop 10,000 $EIZ + 500 Whitelist Spots

My favorite Stock and Crypto Investment Apps and Tools 🚀

Wisly Wednesday Industry News — 18 August 2021

Q-CITY, You Young-Gun’s block chain philosophy and humanity coexistence.

Crypto and NFTs could face UK regulation crackdown in 2022

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
iZUMi Finance

iZUMi Finance

iZUMi Finance: A Multi-chain DeFi Protocol Providing One-Stop Liquidity as a Service; Twitter:twitter.com/izumi_Finance; Discord: discord.gg/izumifinance

More from Medium

Why is izumi the bridge between Uniswap V3 and DeFi 2.0

AURA-TOS Uniswap V3 DEX Listing [EN/KR]

Hotpot Fund V2 40th Weekly Report

Telegram AMA Recap on December 17th