In our efforts to infuse DeFi with default privacy, we attempt for Panther to be used as the de-facto solution for private DeFi access. To keep this network functioning as intended, Panther requires architecture and design that incentivizes the right actions.
Creating enticing incentives means aligning the interests and behaviors of all network participants while minimizing destabilizing conduct to the greatest extent possible. Game theory offers a framework to model these intentions and understand how they work within complex real-life settings. Thanks to this, we can create optimal cost structures for using and contributing to Panther’s Multi-Asset Shielded Pools, helping inform governance decisions.
$ZKP, therefore, serves to incentivize:
- Privately staking $ZKP to earn rewards for adding tokens to Pools and increasing the anonymity set. Panther can act as a price discovery mechanism for privacy, bringing in new users for a positive feedback loop, eventually lowering the cost of privacy.
- Relayers paying fees privately on behalf of users, furthering anonymity, to earn $ZKP.
- Governance-focused staking to encourage long-term governance participation.
$ZKP can also:
(i) to pay fees associated with zAssets;
(ii) to pay transaction fees for sending zAssets;
(iii) to pay Reveal fees;
(iv) to pay for interaction with external DeFi protocols.
- Be used by the DAO to pay for services provided to the protocol, such as:
(ii) to pay relayer service fees.
(iv) to pay voting stakers.
(v) to pay for community-driven deployments.