Liquidity bootstrapping

Since primary sellers will sell their vault tokens to primary buyers, those are an important source of liquidity for the AMM in the vault. Below is a list of potential sources of liquidity:

Original Asset Owners

After receiving Vault Tokens, holders may deposit their Vault Tokens to receive LP tokens (no yield promises). In early stages, the DAO may authorise one‑sided liquidity for vetted custodian vaults.

DAO Liquidity Seeding (no price support): Where approved by the DAO, the treasury may seed AMM liquidity for new vaults using objective, pre‑set parameters. No buybacks and no price‑support commitments. Programs are time‑limited and transparently disclosed..

DAO Liquidity Seeding (no price support).

Where approved by the DAO, the treasury may seed AMM liquidity for new vaults using objective, pre‑set parameters. There are no buybacks and no price‑support commitments. Liquidity programs will be time‑limited and transparently disclosed.

Initial Fees

All fees related to Vaults will be paid in the proprietary Vault token, this includes an initial entry fee to the custodian. We expect that the custodians would often opt to seed the Vault’s liquidity pool using this fee, as liquidity naturally will attract more investment into the Vault.