# 🤔Why Deliq Finance?

New gen DeFi protocols face a major roadblock of attracting liquidity to the protocols for easy user adoption and better trades . Usually protocols adopt liquidity mining to incentivize users . This a capital inefficient way to get liquidity and is often just a temporary solution to the liquidity problem .

Deliq Finance with it's Liquidity by staking (LBS) model is a paradigm shift in liquidity bootstrapping for protocols . We change the way how Liquidity provisioning works and replace the centralized resources like capital and trading strategies of market makers with **Liquidity Providers** and **Liquidity Directors**.

## New DeFi Protocols

They can bootstrap liquidity in a capital efficient way without providing LM incentives and generate deep liquidity markets from the very beginning. These protocols can outsource their liquidity needs to Deliq just by spinning up their own token pool.

## Exchanges

Exchanges like  Trader Joe & Pangolin can utilize the extensive liquidity provided by Deliq to increase their market depth and provide near zero slippage trades to their users. Various pairs on exchanges has high slippage due to low liquidity in the pools , Deliq will allow liquidity to flow into such pairs if the community is confident about projects.


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