Introduction
1. These terms and conditions ("Terms") govern your use of the Liquidity Bond protocol ("Protocol"), including but not limited to the provision of liquidity, staking, and participation in the governance of the Liquidity Bond DAO. By accessing and using the Protocol, you agree to be bound by these Terms. If you do not agree with any part of these Terms, you must refrain from using the Protocol.
2. Liquidity Bond Protocol
2.1 The Liquidity Bond Protocol is a single-side liquidity protocol that allows users to provide liquidity using a single token or coin. By depositing assets into the Protocol, users can earn yield and participate in decentralized finance activities.
2.2 The LOND token is an essential component of the Liquidity Bond Protocol. The LOND token is used to facilitate liquidity provision within the Protocol and can be generated or burned based on user deposits or withdrawals. The total supply of LOND tokens starts from zero and increases as liquidity is deposited into the Protocol.
2.3 The Liquidity Bond Protocol integrates with lido.fi, enabling users to stake their assets and earn additional staking yields of up to 4.0% per annum on their deposits.
2.4 The Liquidity Bond Protocol is compatible with Uniswap V3 and similar decentralized exchanges on various Ethereum Virtual Machine (EVM) blockchains.
3. Liquidity Bond Process
3.1 Users can access the Liquidity Bond Protocol by connecting to the liquidity.bond website and following the instructions provided.
3.2 The user can deposit a desired amount of assets into the Protocol, which will be used for liquidity provision.
3.3 Users have the option to stake their assets through lido.fi to earn additional yields.
3.4 Stop loss and take profit options are available to protect liquidity providers against impermanent loss. These options allow for automatic withdrawal of liquidity when predefined price thresholds are breached.
3.5 The Liquidity Bond Protocol issues a Liquidity NFT (Non-Fungible Token) to the user, ensuring individual liquidity pool separation.
3.6 Upon reaching stop loss, take profit, or withdrawal triggers, the Liquidity NFT is returned to Uniswap, and the LOND tokens are burned while staked assets remain in the Protocol.
3.7 Users have the option to withdraw their assets and claim their funds by following the specified procedures.
4. Yield Potential and Risk Mitigation
4.1 The Liquidity Bond Protocol integrates with lido.fi, allowing users to earn additional staking yields of up to 4.0% per annum on their deposits.
4.2 Stop loss and take profit options are implemented to mitigate the risks of impermanent loss. These options enable users to automatically withdraw liquidity when predefined price thresholds are breached.
4.3 Liquidity providers in the Protocol can earn trading fees generated on decentralized exchanges. The potential for returns is increased with unlimited liquidity and the ability to mint LOND tokens when liquidity is injected into the Protocol.
4.4 The Protocol Stop feature allows the project team to halt the Protocol and remove liquidity from the swap mechanism if necessary. This feature ensures the safety of user assets and the stability of the Protocol.
4.5 The Protocol incorporates a contract whitelisting mechanism to prevent potential malicious activities from unauthorized contracts. Only authorized and whitelisted contracts can interact with the Liquidity Bond contract.
5. DAO
5.1 The DAO is a decentralized autonomous organization that governs the Liquidity Bond ecosystem. DAO participants hold the DAO token (JULD) and have the right to participate in decision-making processes.
5.2 DAO participants can propose and vote on various matters, including setting fees, establishing protocol parameters, approving incentives, and proposing and updating Liquidity Bond features.
5.3 Each JULD token represents one voting right within the DAO. Proposals require a minimum of 5% of the total token supply to vote with a "YES" for acceptance. A minimum of 50% of all votes cast must be positive for a proposal to pass.
5.4 The DAO encourages active participation by implementing voting incentives. Participants who cast votes become eligible to receive a share of the protocol fees earned, with rewards distributed based on voting weight.
5.5 The Liquidity Bond DAO is governed by democratic decision-making processes, ensuring inclusivity and proportional representation.
6. Revenue Model
6.1 The Liquidity Bond Protocol sustains its operations through contract deposit and withdrawal fees. A 1% deposit fee and a 1% withdrawal fee are applied to users entering or exiting the Protocol.
6.2 The revenue generated from the fees contributes to the sustainability and development of the Liquidity Bond ecosystem.
7. Risk Assessment
7.1 Users acknowledge and understand the risks associated with participating in the Liquidity Bond Protocol, including impermanent loss and potential smart contract vulnerabilities.
7.2 The Liquidity Bond team has implemented risk mitigation measures, such as stop loss and take profit options, extensive audits, and integration of oracles, to minimize risks. However, no system is entirely immune to vulnerabilities, and users should exercise caution and perform their own risk assessments.
8. Disclaimer
8.1 The information provided in this terms and conditions, including the white paper, is for informational purposes only and does not constitute financial advice, investment recommendations, or an offer to participate in any investment or token sale.
8.2 Users are responsible for conducting thorough research, seeking independent financial advice, and assessing their own risk tolerance before participating in the Liquidity Bond Protocol.
8.3 Liquidity Bond and its team members shall not be held liable for any direct or indirect loss, damage, or inconvenience arising from the use of the Protocol or participation in the Liquidity Bond ecosystem.
8.4 The Liquidity Bond team reserves the right to amend, modify, or update the Protocol and these Terms without prior notice. Users are responsible for staying informed about any changes through official project channels and announcements.
These Terms and Conditions are effective as of the date of acceptance and may be updated or revised by the Liquidity Bond team at any time. It is your responsibility to review these Terms periodically for any changes. By continuing to use the Liquidity Bond Protocol after any modifications to these Terms, you acknowledge and agree to be bound by the updated Terms.