Investor Protection Mechanisms

Additional mechanisms added to protect PZAP investors.

At PolyZap our investors safety and and trust is a top priority!

We've included additional Tokenomics logic and mechanisms with this goal in mind. The main objective is to protect investors from bad actors and events that could have a negative impact on them, and the PZAP token price.

Investor Protection Mechanisms are configurable by PolyZap. Although any changes are protected by Timelock, and would have to be approved by the PolyZap leadership, also announced to PZAP investors and the community in advance.

Anti-whale Prevention

A problem that most projects encounter is market control and manipulation by large holders or "whales". Generally these large token holders can have too much control, and can have a big impact on market movements.

To combat this problem we have implemented an anti-whale prevention mechanism, which limits the amount of PZAP tokens that can be transferred in a single transaction.

Current Anti-whale Prevention Limit: Disabled (turned off).

Anti-whale Prevention

  • If enabled Anti-whale Prevention protection will affect all transactions.

  • Limit on the amount of PZAP tokens that can be transferred is configurable by PolyZap.

  • Any decision to enable / disable this feature, the community will be notified in advance.

Harvest Lockup

A protective mechanism that can be applied to farms or pools, to limit the frequency of Harvest that is allowed. This helps to prevent arbitrage by bots and other users exploiting APRs, Harvesting and dumping PZAP frequently, which would have a negative impact on the value.

Example of Harvest Lockup

  • Farm: PZAP/USDC

  • Harvest Lockup: 6 hours.

Farmers that have staked in the PZAP/USDC farm, would only be able to Harvest every 4 hours.

Harvest Lockup

  • Does not prevent investors from removing staked tokens or LP tokens from farms and pools. It only affects the frequency and availability of Harvest.

  • Resets every time you Harvest, Stake, Unstake or Withdraw from a supported farm or pool.