Liquidity Incentives
We encourage the participation of liquidity provision.
Overview
To foster a robust and liquid market for SKILL tokens, Skills Labs has allocated 500,000 SKILL to incentivize liquidity providers over the first five years. This equals out to just under 274 SKILL being paid out every day. These incentives are designed to reward participants who contribute to the liquidity of SKILL token pools, ensuring more stable trading environments.
Incentive Distribution
Liquidity incentives are distributed with the amount each participant earns based on the percentage of the liquidity pool they own. This proportional distribution ensures that larger liquidity providers receive higher rewards, reflecting their greater contribution to the liquidity pool.
Commitment to Liquidity
By setting aside a significant portion of SKILL tokens for liquidity incentives, Skills Labs demonstrates its commitment to creating a vibrant and liquid market. This strategy not only benefits liquidity providers through regular rewards but also ensures that all participants in the Skills Labs ecosystem can trade SKILL tokens in a more stable environment.
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