I wonder if we could discuss setting up an auto-compounding incentives scheme on Bancor V3? Let me know if you have time to discuss it - I would gladly schedule a call with you about it.
The reason I bring it up is that there are some significant advantages from the project side, including:
- The entire LM budget is liquid from the first instant.
- Users receive their rewards without paying gas to claim them, and without having to interact with a contract.
- The rewards for users accrue to the pool token, which in many jurisdictions is a capital gains event rather than income, which alleviates a huge tax burden (and therefore potential selling pressure on the token).
- The rewards are 100% single-sided, period. Nothing is required to be sold to fund the other side of the pool during compounding.
The details are discussed in the BIP15 Proposal. Let me know if you want to set up a call 