Liquidity is supposed to be boring. It should just exist. It shouldn’t need incentives. It shouldn’t need rewards to stay. But reality is different. Liquidity has emotions. It comes when invited. And it leaves when the invitation ends.
When Binance introduced Liquidity Rewards, my first feeling wasn’t excitement. It was doubt. Rewards can create depth. But they can also create the illusion of depth.
From a user experience perspective, everything feels easier. Less slippage. Fewer calculations before making a swap. You start to believe that this liquidity is “real.” But somewhere in the back of your mind, you know part of it is being paid to stay there.
This isn’t wrong. It’s just… fragile.
I’ve seen this happen in other ecosystems. When rewards exist, everything looks stable. When rewards decrease, liquidity reacts faster than users do. It leaves before emotions can catch up. The underlying token doesn’t change. The infrastructure doesn’t change. Only the incentive changes.
With @Fogo Official , this program creates a kind of temporary confidence. A bridge between “not enough” and “maybe enough.” But the bridge isn’t the destination. Compared to larger ecosystems, where liquidity comes from habit, here liquidity still comes from decision.
And decisions can reverse.
I still use the pool. Still watch. Still feel the smoothness that rewards bring. But I keep wondering…
Is this liquidity becoming a foundation.
Or is it just being rented to stay a little longer.
Everyone has their own answer. Trust yourself and make the right decision
