Protocol-owned Liquidity (POL)

Nabla is designed to over time own a growing share of the liquidity in all its pools, with an initial focus on the Backstop Pool. This Protocol-owned Liquidity (POL) will not only reduce the costs of operations for the protocol (as a lower share of swap fees and $NABLA incentives have to be paid to external LPs), but as well serve as a growing liability reserve which will stay in the pools forever*. Such a liability reserve in all pools, but i.e. in the Backstop Pool, will over time further reduce the risks for other LPs. *unless the DAO decides otherwise