How To Keep Your Magikarp Happy
Congratulations on taking on the responsibility of your own Magikarp! Even though they’re hardly lil’ creatures and will splash here, there, and everywhere… they will literally appreciate and thrive if you look after them.
Environment is everything!
It’s a fact that Magikarp have been spotted swimming in most — to put it lightly — questionable of waters; there’s one thing they love above all and that’s liquidity.
Magikarp looooove liquidity!
When liquidity is low — the magikarp is a volatile beast being easily affected by transactions. Buys will hike the price up — and sells will drop it down just as easily. This means a slippery slope of slippage… and nobody likes a slippery slope of slippage.
Thankfully, the inverse is also true! With enough liquidity the Magikarp becomes the most majestic of creatures. One with a stably growing price due to the burn & redistribution mechanics that are natural to any reflect token.
At the time of writing set to 6.5% per transaction with 4% burn and 2.5% redistributed amongst the holders of Magikarp.
So the simple to answer the question “How to keep your Magikarp happy?” is;
Providing Liquidity is the cornerstone innovation of DeFi — it allows buyers & sellers to transact continuously.
As always — do your own research about investing! Here are a two good places to start if you’re new to providing liquidity:
Liquidity Providers receive rewards for staking their tokens as well as fostering an ecosystem where transactions are easy and free flowing — something that can only benefit holders of reflect tokens with a transaction tax such as Magikarp.