LuaSwap redesigns token economics and operating strategies to solve the problem of the trading system. Its core is a multi-chain protocol that provides community governance through LUA tokens. The focus is on supporting small pools of emerging tokens rather than competing for liquidity within the top token pools. Additionally, LUA’s token economics redesigns a vesting schedule that not only rewards early adopters, but also incentivizes them to stay and participate in governance for a longer period of time. The protocol will have a fair launch, with no seed investment, founder fees, and no premines.
LUA tokens are distributed to Liquidity Providers (LPs) to incentivize them to stay in the protocol. Holding LUA tokens means participating in protocol governance. All LUA token holders have the right to decide which chains to implement LuaSwap in the future, how much LUA to distribute to LPs on the new chain, which new token projects LuaSwap should support, etc.