Incentivizing Engagement

Currently, stakers of $LIFI can earn a target yield of around ~14% APY. These rewards may come from a combination of sources:

• A reserve token supply set aside for staking incentives.

• A portion of platform fees.

• Marketplace fee revenues.

By staking, participants lock up $LIFI (reducing circulating supply) and in return gain staking rewards, plus additional benefits such as:

• Priority Perks: Stakers enjoy priority verification — their KYC reviews, asset approvals, and other onboarding steps might be fast-tracked.

• Advanced Feature Access: Stakers unlock access to premium features, such as:

  • More complex tokenization structures (e.g., debt tokens, revenue-sharing instruments).

  • Early access to new asset classes.

  • Higher API rate limits for developers and institutions.

These incentives ensure that those who benefit most from Liquid (power users and large issuers) are motivated to hold and stake $LIFI, aligning their success with the platform’s long-term growth.