⚗️Alchemy Works- LP Mining

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One key aspect of Sage Towers is its strong trade economy that supports its vibrant arts and entertainment scene. A crucial component of this trade economy is the use of liquidity pools, that we call the Alchemy Works.

The Alchemy Works are pools of funds that are locked up in a smart contract and used to facilitate trading between different assets. In Sage Towers, liquidity pools will be used to enable seamless trading between in-game assets.

These liquidity pools will be designed to ensure that there is always enough liquidity available to support trading between assets. This will be achieved through a combination of incentives and penalties for liquidity providers who add or remove funds from the pool.

Players who provide liquidity to the pool will be rewarded with a portion of the trading fees generated by the pool. This incentivizes players to keep the pool well-funded and liquid, which in turn ensures that trading can happen quickly and efficiently.

At the same time, penalties will be imposed on liquidity providers who remove funds from the pool before a set period of time has elapsed. This discourages players from withdrawing their funds prematurely, which can cause the liquidity of the pool to drop and trading to become more difficult.

Overall, the use of liquidity pools in Sage Towers will be a critical component of the game's trade economy. By facilitating seamless trading between in-game assets and incentivizing players to keep the pools well-funded and liquid, liquidity pools will help to create a dynamic and thriving in-game economy.