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Shadow Finance is a private liquidity hub built on the Aleo blockchain, dedicated to assisting Zk projects in overcoming the challenge of cold start liquidity. ShadowFi aims to incentivize liquidity provision through two primary methods: voter-escrowed voting and protocol bribing. By allowing projects to allocate additional rewards(Bribes) on top of swap fees to voters, voters are motivated to vote for bribers liquidity pool. This results in more protocol tokens being rewarded to liquidity providers, creating a mutually beneficial situation for protocols, traders, voters, and liquidity providers.
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