Core to the ethos of Liquity, its product layer is just as decentralized as its smart contracts. All frontends are run by third party operators, who are incentivized to do so via LQTY rewards.
Liquity AG does not run its own web interface. Instead, Liquity’s Ethereum-based smart contracts can be accessed via third party apps. Anyone can easily run a frontend by using the launch kit or SDK and by doing so, earn a share of the Stability Pool rewards.
A kickback rate is set by every frontend, ranging from 0% to 100%, and it determines the share of rewards earned by their users' Stability Pool deposits. For example: If the kickback rate is 99%, the frontend will be rewarded with 1% of the LQTY rewards while the users keep the rest.
Because of this mechanism, frontends are directly incentivized to grow the Liquity ecosystem and to provide unique tools for users.
