4.3 ARK's Two Major Economic Support Systems

POL (Protocol-Owned Liquidity)

Function: Protocol autonomously owns LP Tokens, ensuring stable liquidity pools and funding rates.

  • A portion of all token issuance and bond outputs flows back to LP composition

  • POL pool returns are fed back to Treasury or YRF distribution

  • Gradually replaces dependency on "external liquidity mining"

Strategic value:

  • Reduces dependency on external selling pressure

  • Establishes the protocol's autonomous pricing authority and depth control

ATS (ARK Treasury System)

Function: Protocol treasury, accumulating assets, supporting floor price, and adjusting revenue distribution.

  • Income sources: Bond deposits, liquidity mining, protocol revenue, penalties, etc.

  • Asset types: USDT, ETH, LP Token, partner protocol assets

  • Expenditure purposes: YRF distribution, floor price protection, liquidity injection, governance budget

Governance characteristics:

  • All assets and fund flows can be audited on-chain

  • In the future, can be assisted by AI models for management (risk indicators + allocation recommendations)

Last updated