This allows any developer to incentivize their own liquidity. If these pools do well and generate good volume for inSPIRIT holders, these farms may get promoted to gauges at a later stage.
Permissionless ecosystem farms are a novel approach to Farming as a Service.
This model allows developers who are struggling to get sufficient liquidity incentives elsewhere, the opportunity to bootstrap liquidity incentives for them selves with the chance of eventually acquiring a gauge. This leads to the fact that the protocol in question no longer has to incentivize their own liquidity.
This approach gives good exposure for new projects arriving to the Fantom and exposes the community to a variety of new opportunities.
Due to the true decentralized nature of this process, this doesn't come without certain risks! While this feature was set up with the best of intentions, there is risk of a bad actor setting up a farm for any random token pair in order to "rug pull" the community.
To help mitigate this risk and safe guard the community, Permissionless farms are segregated into two separate tabs.
1. All ecosystem farms
2. Whitelisted ecosystem farms
Screen shot of whitelist ecosystem toggle button.
A whitelisted ecosystem farm is one we consider to be of less risk, as the developer team responsible for listing this farm have reached out to us, allowing us to conduct due diligence on the project, similar to our token whitelisting process. By giving the community a chance to separate whitelisted ecosystem farm's from the rest, this in effect, minimizes risk to the community. It goes without saying however, this does not remove the responsibility of due diligence from the community members who wish to participate in these farms.
Disclaimer Note: Although we strive to protect our community as much as possible, the community is expected at all times to conduct their own research and complete due diligence to their own standards, before participating in any ecosystem farms. As with all things DeFi, there are always risks and the community should always factor this into THEIR OWN DECISION MAKING.