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RE: The importance of Liquidity in Exchanges

in Project HOPE3 years ago

I only bump into that post of yours @josevas217

I must admit that even after reading it, I'm still unsure how some DEFI (like WOXFi) are collected liquidity into generating profits. For me, often it does look like this liquidity is just "sitting" there.

One could think, that that liquidity will be used to allow people to trade on the exchange. And that part of fees will be used to buy-back native tokens (minted by liquidity providers). But Im not sure if this is the case.

Cheers, Piotr

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