Protocol-owned Liquidity

TLX accumulates protocol-owned liquidity through bonding

The TLX DAO accumulates protocol-owned liquidity (POL) every time a user bonds leveraged tokens in exchange for $stTLX tokens. This liquidity, while initially being acquired in the form of leveraged tokens, undergoes a weekly rebalance whereby 80% of newly acquired POL gets allocated to the wstETH/ETH1S Velodrome pool and the remaining 20% gets allocated to the TLX/ETH Velodrome pool. Please note that during each rebalance a small amount of sUSD may be reserved in order to seed liquidity for new leveraged tokens

Changes to POL allocations may be made via the DAO.

Last updated