Liquidity
Who is a liquidity provider?
A liquidity provider is anyone who provides the base asset of a market.
Who sets the liquidity price?
Liquidity providers can set the price of their liquidity at all times. They can also delegate the task to a liquidity manager (ex: a price bot).
Who is a liquidity manager?
A liquidity manager is another wallet authorized to update the price of liquidity. Users may optionally grant permission to another wallet to help them keep the price of their liquidity close to the market price. Ideally, a price bot should be granted this role.
Can I add or remove liquidity?
Yes! Liquidity providers can add or remove liquidity at any time.
Do liquidity providers earn a fee?
No. Unlike AMM exchanges, liquidity providers on Joint protocol are more similar to makers on centralized exchanges; they do not earn a fee. They can only set the price of their liquidity. However, at launch, there will be listing and trading rewards that will eventually dry out when the allocation is depleted.
How many open swap orders can I have?
The Joint protocol allows a maximum of 5 open swap orders.
Can I set the duration I expect to handle payment?
Yes. Liquidity providers can set a duration they expect to receive a payment (if they are swapping an on-chain asset) or send payment (if they are swapping fiat or any off-chain asset). After this time elapses, the protocol will enter into a grace period. If the grace period ends without the trade being marked as paid, it will enter the cancellation phase, where the liquidity provider or the taker can cancel the trade.
When can I cancel a trade?
After the liquidity provider's preferred payment window and the protocol's grace duration elapsed, at that point, any of the participants can cancel the trade.
When can I start a dispute?
Disputes can be started after the trade has been marked as PAID.