What is a bond?
A brief overview of a bond
Bonds allow users to buy OTHR from the protocol at a discount by trading it against i) liquidity (LP tokens) or ii) other assets. The former are called liquidity bonds and the latter are reserve bonds.
Bonds take a variable amount of time to vest, called the vesting period. During this period, the OTHR tokens given as payout to the bonder are staked and locked. After the vesting period is expired, the bonder can claim the OTHR in full.
Liquidity bonds help the protocol to accumulate and lock liquidity, while reserve bonds allow the protocol to grow its treasury.