Bounty

What if everyone makes empty promises, and the offers in the book are all meant to fail? This is where Makers must leave a native token provision (the bounty) in their offer. Nothing prevents them from posting offers that will always fail. So, to ensure that the offers displayed on the book are credible, it must be costly for Makers to post orders that are not meant to go through. And in that case scenario, the bounty is then given to the Taker as compensation. 💎

At first, this might appear to favor Makers. However, with advanced market-making features that allow them to accept or cancel offers, Makers can mitigate their risk and offer better prices. Ultimately, both Makers and Takers benefit: the risk of offer failure is essential for the effectiveness of smart offers.

Let's spend more time understanding Makers, Takers, and Keepers (yes, that last one is a new term), shall we? 🤓