Intro: This proposal suggests the implementation of a liquidity pool in the Adshares ecosystem. The objective is to provide liquidity for the Adshares (ADS) token and improve its trading performance.
Motivation: A liquidity pool will provide a better trading experience for ADS token holders by reducing price slippage and increasing trading volumes. Additionally, it will increase the market exposure of ADS by attracting liquidity providers and traders from other DeFi ecosystems. This will enhance the overall adoption and utility of the ADS token.
Specification: The liquidity pool will be implemented using the Uniswap V3 protocol. ADS token holders will be able to stake their tokens in the liquidity pool and earn a share of the fees generated by the trading volume. The liquidity pool will be seeded with an initial amount of ADS tokens to provide liquidity for the first trades.
- Research and development of the liquidity pool implementation on the Uniswap V3 protocol.
- Integration of the ADS token with the liquidity pool.
- Creation of a user interface for the liquidity pool.
- Seeding of the liquidity pool with an initial amount of ADS tokens.
- Launch of the liquidity pool on the Adshares ecosystem.
- Research and development - 2 months
- Integration - 1 month
- User interface creation - 1 month
- Seeding of liquidity pool - 2 weeks
- Launch - 1 month
Cost: The estimated cost of implementing the liquidity pool is 200,000 ADS tokens, which will be used to seed the liquidity pool and cover development and integration costs.
Risks: The main risk of implementing the liquidity pool is the potential lack of liquidity providers, which would reduce the trading volume and fee generation of the liquidity pool. Additionally, there is a risk of security breaches or hacking attempts, which could result in the loss of funds. To mitigate these risks, the liquidity pool will be audited by a third-party security auditor before launch, and continuous monitoring and maintenance will be carried out to ensure the security and stability of the liquidity pool.