Written by: HAYLΞS.eth

Compiled by: TechFlow

The lack of a ve (3, 3) exchange in the Polygon ecosystem is a problem that needs to be solved, and Pearl has emerged to fill this gap. Let’s take a deeper look at how Pearl can transform the attention it gets from RWA into liquidity and introduce it into the ecosystem.

The rise of powerful bribery protocols has overturned the previous AMM Dex model represented by protocols such as Sushiswap. With Pearl, users can self-optimize AMMs, which will not lead to the sale of platform governance tokens. And the way to achieve this is very simple.

It provides token emission to the LPs with the most votes. LPs on DEX provide incentives to liquidity providers to obtain votes. These votes allow LPs to maximize the token emission allocated to them by Pearl.

Pearl has partnered with Tangible, one of the largest staking and one of the most widely adopted RWAs. With their stablecoin $USDR, it allows for automated staking from USDR using the Solidity model. USDR is backed by tokenized real estate and offers an 8% annual interest rate from rental income.

Pearl TVL is as high as $43 million, making it second only to Velodrome as the leading ve(3,3)DEX. As the demand for RWA integration with DeFi continues to grow, it will soon increase in trading volume further and surpass its current position.

Pearl’s Token

• $pearl (ERC-20) - the main utility token used as rewards to incentivize liquidity providers and obtain better trading conditions.

• $vePearl (ERC-721) - Use this token to vote on LP emissions on the pearl dex.

To obtain vePearl, users must lock their $pearl, and the longer the lock period, the more voting power they have.

How does Pearl work?

• Voters receive $USDR through automated bribes.

• More incentives means more demand for pearl.

• The pearl token price increases.

• The value of pearl issue increases.

• Increase TVL to gain issuance.

• USDR’s automatic bribe increases as TVL increases.

Incentives are crucial in Solidly’s bribery model. Platforms with better incentives will naturally outperform others. As is evident in Pearl’s chart.

Thena - A Solidly dex running on BSC, it pales in comparison when we compare the charts, probably due to giving less bribes. There is also the Solidly dex Chronos on Arbitrum.

Token Economics

Pearl's goal is to allow everyone to participate in the ecosystem as much as possible, however, active users will receive a larger allocation of $vePearl tokens.

The sustainability of PearI's ve (3, 3) model mainly comes from incentivizing LPs with unlocked governance tokens, distributing transaction fees to ve token holders, and allowing the protocol to release unequal distributions to pools and allow the protocol to bribe locked token holders to vote.

in conclusion

Pearl ensures high utility and rewards for holding and locking governance tokens, which helps maintain the token price and thus provides continuous liquidity. RWA is gaining traction and it won’t be long before other markets catch up.