Single-side Automated Market Maker
Panther’s AMM functions by allowing users to redeem at a fluctuating rate. Exchange rates in this system are proportional to $ZKP in the pool and the total PRPs available. Through this mechanism, Panther creates a game-theoretical way to price privacy. The protocol will initially only charge fees (denominated in $zZKP) from users aiming to withdraw their assets. These fees eventually circle back to being distributed as rewards.
The diagram below explains the workings of the rewards mechanism, from the vesting of reward tokens to users exchanging their PRPs for $ZKP.
Rewards issuance mechanism.
Furthermore, the functioning of the single-sided AMM itself is represented in the diagram below: