KARTEL
  • Kartel Introduction
  • About
    • Lore
    • Purpose
  • HOW IT WORKS
    • Tokenomics
    • Digital Peso - $MXND
    • Protocol Owned LP
    • Kartel Kards
    • Governance
    • Tying It All Together
    • Infographic
  • Roadmap
  • Links
    • Socials
    • Contracts
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  • Protocol-Owned Liquidity (POL) 💼🧱
  • 🔁 How It Works
  • 🧠 Why This Matters
  • 🗳️ Community Governance
  • 🧱 Summary
  1. HOW IT WORKS

Protocol Owned LP

Protocol-Owned Liquidity (POL) 💼🧱

In order to create long-term price support and deepen on-chain liquidity, $KARTEL introduces a Protocol-Owned Liquidity (POL) system.

This system ensures the protocol itself owns and controls its liquidity — not mercenary LPs or temporary yield farmers.


🔁 How It Works

  1. Users mint $MXND via the official KARTEL dApp (backed by USDC)

  2. They pair $MXND with $KARTEL to create a Uniswap V2 LP token

  3. Users then bond their LP tokens to the protocol

  4. In return, they receive discounted $KARTEL tokens

    • The discount is algorithmically determined relative to market price

    • Tokens are vested linearly over the course of 7 days (subject to change)

This allows users to sell LP → earn discounted $KARTEL And allows the protocol to accumulate and own its own liquidity — permanently.


🧠 Why This Matters

  • The protocol becomes the main liquidity provider for $KARTEL

  • This creates a backing price for $KARTEL in terms of $MXND

  • Even if there’s no buyer, the protocol owns the exit liquidity

  • Ensures depth and stability in the market over time


🗳️ Community Governance

Out of the 100M total supply, 50M $KARTEL tokens are reserved for bonding.

Once this bonding supply is fully deployed, the protocol transitions into community governance.

$KARTEL holders will be able to vote on:

  • How to use treasury funds

  • Whether to offer additional bonds

  • How to allocate protocol-owned liquidity

  • Future strategic partnerships or initiatives


🧱 Summary

Protocol-Owned Liquidity is the heart of KARTEL’s economic flywheel.

It:

  • Grows the protocol’s treasury

  • Creates a floor price for $KARTEL

  • Enables decentralized governance

  • Rewards users with discounted tokens

More bonding = more LP owned = more fees collected = stronger treasury = higher backing = stronger KARTEL. 💼

Every bond builds the empire.

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Last updated 1 month ago