What is POL?
1. What is POL?
POL (Proof Of Liquidity) is a decentralized token issued by the Earn exchange based on TRON’s TRC20 protocol. It is in the nature of zero reservations to be provided to the team or any individual upfront. Playing a substantial role in the Earn ecosystem, POL bridges between tokens that are staked and those in circulation, paying with which allows the users to obtain instant liquidity even when the crypto assets are still in staking. POL is an incentive for participants who contribute to balance the market volatility and ecological governance, as well as the fuel for extracting Earn system resources.
2. What is the token supply and distribution of POL?
The total supply of POL stands at 1 billion. The distribution of POL is divided into 3 parts: LockDrop, staking, and the budget system. In addition to the staking, the POL node mining will also be opened soon.
3. What is the logic to POL’s upward appreciation?
POL is the barometer to supervise the activeness of PoS ecology. It is hereby leading to the increase of market demand and liquidity of POL when the price of a staked crypto has normally fluctuated. The listing of more staking projects and engagement of nodes in Earn will also tremendously enhance the demand of POL in the liquidity exchange as well as accelerate the destruction of POL and ultimately forming a virtuous circle of PoS economy.
4. How to obtain POL?
- Participate in the LockDrop event
- Staking tokens on Earn
- Trade on Earn Exchange
- Trade POL at KuCoin spot trading market
- Participate in mining in POL nodes
- Participate in community governance and apply for an operation budget in POL and get approved and supervised by the node
5. What are the application scenarios of POL?
- The payable token to unlock the liquidity of staked digital assets
- The promotional and technical service fees for nodes of Earn
- Apply to participate in the governance of POL node
- The fuel and incentive for network operation
6. What role does POL play in the liquidity trading market?
POL is the link between the crypto asset in the pledge state and the free circulation asset, if the user wants to immediately exchange for the freely tradable asset, they can pay POL for the lock tokens in the liquidity trading market.
It should be noted that the exchange of tradable assets is not necessarily paid by POL, or it may be charged, depending on the urgency of the user's liquidity needs. The amount of POL paid/received is determined by the market, different pledged assets require different POL, and the amount of POL that needs to be paid/charged can be viewed in the transaction interface.
For example, suppose the user has pledged 200 ATOM products, and during the pledge period, the user wishes to immediately exchange 100 freely circulating ATOMs. At this time, the user can choose ATOM-Staking in the liquidity trading market, sell 100 pledged ATOM vouchers in the market, and pay a certain amount of POL, you can immediately exchange 100 freely circulating ATOM, at this time, the user's assets include 100 ATOM in the pledge and 100 atoms that can be freely circulated