The LP

The LP is an experimental, fully on-chain protocol designed to help NFT projects bootstrap liquidity and reward holders. Its model uses mint proceeds and external royalties to create an internal liquidity pool, enabling NFT owners to buy or sell through marketplace functionality built into the smart contract. Holders can claim a pro-rata share of fees generated by these transactions, with the remaining fees added back to the pool.

The protocol includes a trustless escrow period of up to 11 days. If 9,000 NFTs are minted within that period, trading and transfers are unlocked and an additional 1,000 NFTs are minted to support liquidity. If the target is not reached, the experiment ends and participants can withdraw their ETH, minus gas fees; the NFTs remain locked on-chain. NFT artwork and traits are also stored on-chain and assembled into dynamic images.

The LP aims to give creators greater control over liquidity, fees, and listings, reducing reliance on centralized marketplaces.