Liquidity Pools

1. What is BuyBack Pool?

Buyback pool is used as the liquidity provider if somebody want to sell their property instantly.

And when a new Buyer on the marketplace wants to buy a property token, 0xEquity Marketplace automatically take the property from Buyback pool and sell it to the user and transfer the purchase amount to the Buyback pool.

2. What if the Price of Property drop if the property own by Buyback Pool?

In case of loss to the liquidity pool. Protocol will distribute the loss to the all users.

In case of profit in future transactions, the protocol automatically settle previous loss amount and then distribute the remaining profit to the liquidity providers.

e.g If the user sold the property when the price of the Property token was 600 USD. Due to market situation the price of Property fell to 500 USD then Liquidity providers will get a distributed loss of 100 USD.

If another property token held by Buyback pool gets 200 USD as revenue. Then the protocol automatically distribute 200 USD revenue over the pool.

3. Does Buyback pool have Lock Period?

Yes you cannot withdraw your liquidity before 1 month after your previous deposit. This is to protect the existing liquidity providers and stop getting an unfair portion of the revenue earned.

4. Does Buyback pool legally own the property?

The Buyback pool will not legally own the property. It is only providing liquidity to the instant buyer/sellers.

5. How Buyback pool liquidity provider will get the Reward?

You may navigate to the Reward page to claim the Buyback pool Reward.

6. How i can withdraw money from Buyback pool?

To withdraw money from Buyback pool. You need to un stake your bbUSD (Buyback USD) first from the system and then withdraw it from the Pool.

7. How much i can invest in Buyback pool?

There is no limit and you may invest as much as you want in Buyback pool.

8. What is reward for providing the liquidity to Buyback Pool?

Buyback pool liquidity providers will earn multiple rewards.

  1. They will get 75% of transaction fee. Which is approximately 3.75% out of the total 5% instant buyback fee.

  2. They also receive the Property rental and capital gain for the time the property is held in the pool.

  3. Buyback Liquidity pool will also receive XEQ rewards.

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