Thread by @stader_polygon

Welcome back to #SchoolofStaking! 🏫

Ever wondered how you get those boosted rewards on your favorite DeFi platforms? 💰

Today, we're diving into the topic of Bribes in #DeFi. 🏊‍♀️
Excited? Let's get started! 🚀

But first, can you guess what DeFi bribes are? 🤔

In DeFi, bribes are incentive rewards by protocols to generate more liquidity for their token📈

& by the end of this thread, you'll know how this is achieved👩‍🏫

For eg, @stader_polygon sends out bribes to raise MaticX liquidity📧

So, where do you think these bribes are given?📍

Bribes are dished out on DeFi platforms where protocols have tokens in a liquidity pool. 🌊

Take for example @stader_polygon, we have $MaticX based liquidity pools on @Balancer. 💱

Now that we know where, do you know who these bribes are for? 🙋‍♀️

Bribes are for the governance token holders of the DeFi platform where the liquidity pool is. 👥

For instance, bribes sent out on @Balancer are for veBAL holders. 💸

But what do these bribes achieve? 🎯

Bribes aim to motivate more people to vote for their liquidity pool. ✅

More votes mean more emissions earned by the pools, which basically translates into higher/boosted rewards. 📊

Makes sense, right? 🧠

How does this relate to increased liquidity though? 🤷‍♀️

Here's how: Boosted APR means more rewards for liquidity providers, i.e., users participating in the pools. 💵

These users often add more liquidity to the pool to compound their rewards. 🔄

Voila!! The true purpose of bribe is achieved 🎉

Now, if you're keen to earn extra rewards through bribes, what do you think you need to do? 🧗‍♀️

Here's a hint: @Balancer, MaticX-MATIC pool, @stader_polygon weekly bribe announcements 📢

Session 4 wraps up, folks! 📚

Don't let your pals miss out - give this thread a big ol' RT! 🔄

Stay tuned to @stader_polygon for more awesomeness 🚀

& don't forget to dive into our past lessons for extra knowledge gains! 📝

https://twitter.com/stader_polygon/status/1658727256359948289?s=20

📌