Safemoon Protocol addresses key issues faced by previous cryptocurrencies, such as the reliance on mining rewards, farming incentives, and liquidity provision. Traditional mining requires expensive equipment that can also harm the environment, yet mining remains attractive due to its opportunities. As an alternative, Safemoon offers a smart contract-based reflection mechanism that allows users to earn tokens directly in their wallets. Maintaining liquidity on decentralized exchanges (DEXs) is another challenge, since DEXs need liquidity to operate effectively. Developers often create incentives for users to provide liquidity, but these can carry risks like impermanent loss. Safemoon proposes an automated smart contract function to capture and hold liquidity independently in custody, allevi...
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