Update: Liquidity incentives for all NFT20 pools have ended
NFT20 realizes liquidity is a big part of any dex. For now, 250 $MUSE a day will be allocated across chosen and active liquidity pools. You can look over our liquidity framework here.
We want to reward NFT pools that are active, hopefully incentivized by their community and not just here to farm and dump. We can change these rewards and distribution upon Snapshot voting if and when it’s needed.
We have the capability to receive multiple yield sources from the same LP tokens in a safe way. We’ll open source this together with the DEX. We expect NFT projects to incentivize liquidity too, and we are already in talks with some of them.
Example: If you add liquidity to $PIGGY (made up NFT token) — Eth on Uniswap we will give you $MUSE tokens as yield, but the PIGGY project will also be able to give you yield for the same LP tokens.