Positive Feedback Charity Fund
Learn about Loop Finance's charity fund.
Loop Finance has committed 10% of LOOP tokens (100M total) to perpetual yield-bearing donations for Angel Protocol.
As one of the first members of the Angel Alliance, Loop Finance began distributing LOOP tokens to the Loop Positive Feedback Charity Fund on November 30, 2021. The Positive Feedback Charity Fund disburses scheduled monthly amounts of LOOP tokens into liquidity positions on Loop DEX to generate yield. All yields earned from liquidity positions are donated to Angel Protocol every month. Angel Protocol is a decentralized, charitable protocol that exists to create perpetual endowments for charities through low-risk investments.
The Angel Alliance is a team of projects that have pledged to donate a portion of their profits to Angel Protocol. Donations from Angel Alliance members, including Loop Finance, are contributed to Angel Protocol’s charitable indexes, which align with the 17 UN Sustainable Development Goals. Each charitable index is invested in low-risk investments, such as Anchor Protocol, to generate a perpetual endowment for approved charities. To find out more about how Angel Protocol supports charity, visit their website at angelprotocol.io.
Monthly contributions to the Positive Feedback Charity Fund are spread out over 60 months (5 years). For 100M LOOP tokens, this equals 1.66M LOOP tokens invested per month.
Amount of LOOP tokens added to Positive Feedback Charity Fund over 5 years
Monthly contributions to the Positive Feedback Charity Fund are invested into a liquidity pool allocation comprising multiple liquidity pools on Loop DEX. To minimize the price effect of selling LOOP tokens to invest in the liquidity pools, the amount of LOOP tokens contributed is small at first and increases over time. See projection below.
Amount of LOOP tokens added monthly to Liquidity Pool Investment Allocation over 5 Years
The strategic allocation of LOOP tokens into liquidity pools is designed to have little to no effect on LOOP token price. At the end of 5 years, 100% of the Positive Feedback Charity Fund will be allocated to liquidity pools on Loop DEX.
Within the liquidity pool allocation, LOOP LP token pairs are prioritized for investment. This includes LOOP-LOOPR LP and other LP tokens paired with the LOOP token. The addition of non-LOOP liquidity pools is evaluated every 3 months. Yield generated from each liquidity position will be perpetually donated to Angel Protocol.