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Bonding
The Bond is a way to sell XPH by adding BUSD-XPH liquidity and at a discount, realizing that the Xenophon Protocol can get better access to its own liquidity and reserve treasury assets, while at the same time giving the user XPH at a very large discount, the acquired XPH will be released in a 5-day lock-up period, with a portion released every day for 5 days. Later, Xenophon will take this format deeper into NFT because the LP inherently has terms such as bond price, the number of XPH tokens the bondholder is entitled to and the vesting period quoted for the bondholder, so it can be used as a marketable bond to auction future interests in the NFT market.
The above description can be thought of as a bank issuing bonds, which are sold at a discount to users who earn a profit by holding or staking them, and you can also auction them freely on the market.
Bond investing is an active short-term investment strategy. It is based on the agreed Risk-Free Value (RFV) quoted bond price, so it is also variable, investors can constantly monitor the bond price on Xenophon and the market price to choose how to earn higher profits.
Selling bonds will give XenophonDAO its own liquidity. We call our own liquidity POL (Protocol Owned Liquidity, which is the number of LPs owned and controlled by the treasury). The more POL the better for the Protocol and its users. More POL will ensure that we always have the required liquidity in our trading pool to facilitate market operations and protect XPH token holders. As Xenophon establishes its own liquidity market, in addition to providing additional liquidity to XPH investors, the Protocol will also generate increasing revenue from LP rewards to support our finances.
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