LP program being removed
Program is scheduled to stop soon, I’m thinking this will mean fewer people offering liquidity on pancake swap. Fewer people offering liquidity means greater volatility of gmt prices since it will take less volume to move through the available liquidity. This could be good or bad for gmt prices as it could allow them too moon or they could crater.
Also, worried removing the program could create a death spiral for liquidity providers. Like with more volatility will liquidity providers be able to earn enough transaction fees to offset any losses from the increased volatility? If no then the whole liquidity could destabilize and it may be hard to buy/sell gmt.
Just thinking out loud, along for the ride but IDK how much longer I’ll provide liquidity. Right now the returns without LP rewards program do not look like they will be enough to justify continuing to offer liquidity. In the flip side maybe it will convince enough other people to stop that it will balance out…
Lmk your thoughts…cheers