What business model does Polars have and how are commissions distributed among users?

Polars’ business model is very similar to the well-known Uniswap business model. Users make swaps and pay a liquidity fee of 0.3%.

Users place bets, buy tokens to provide liquidity, arbitrate between pools, sell polar tokens. They pay a liquidity fee for each trade.

All commissions paid by users are subsequently divided into 3 directions:

50% are earned by liquidity providers who have added liquidity to the pools. It is with their liquidity that users make swaps.

20% is sent to the Basic Pool as collateral for polar tokens. Thanks to this, the aggregate price of polar tokens is constantly increasing, increasing the capital of the platform users.

30% go to buy back POL tokens from the market. Further, these tokens are distributed among advanced users who have added their POL tokens to staking.

As you can see, the distribution of platform fees is aimed at increasing the wealth of users in 3 ways at once: for providing liquidity, for holding polar tokens, and for holding POL control tokens. We believe that such a distribution is as fair as possible and takes into account the interests of all stakeholders of the platform. Provide liquidity, own polar tokens, place bets, own POL governance tokens, and increase your wealth.

What business model does Polars have and how are commissions distributed among users?

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