So I’m trying to check if I got this right:
- Would it be correct to describe Liquidity Baker as a variation of a liquidity pool? (Or not a variation but actually a liquidity pool)
- People will need to supply 50-50% of value in tez/tzBTC, correct? Just like in the Dexter tez/tzBTC LP. You won’t be able to only supply one of the two.
- Everything works the same as when people currently supply value to a tez/tzBTC pool, but the only difference is the fact that they can’t delegate their tez. Instead they receive subsidy.
- I’ve been reading through this Liquidity mining on Tezos and I’m a bit confused as to the purpose of the liquidity. Initially I thought that trading on Dexter would tap into the liquidity of the Liquidity Baker Tez/tzBTC pair. But every time someone mentions Dexter, the discussion takes a turn. Is this a correct way of phrasing things:
- Liquidity Baker is a fork of a part of Dexter code. So not built on Dexter.
- People trading tez / tzBTC on Dexter do tap into the liquidity that is provided by Liquidity Baker
- No other exchange or application taps into the liquidity that is provided by Liquidity Baker
