HashKey: Interpreting DeFi Governance Token and Liquidity Incentive Mechanism Flaws

Most DeFi governance tokens do not play strong functional roles in their ecosystems, and liquidity incentives cannot guarantee long-term liquidity in DeFi ecosystems. This article uses the Compound project as an example to research DeFi governance tokens and liquidity incentives. Currently, most newly issued DeFi governance tokens do not play strong functional roles in their ecosystems, and project teams have not adequately empowered the value of DeFi governance tokens.