A huge problem of legacy DeFi 1.0 liquidity mining mechanics is, that it incentivizes mercenary liquidity which is loyal to yield only and incentivizes dumping of the native VSP token to boost yield. Furthermore, there is a huge probability, that Liquidity Providers will leave, if no liquidity mining incentives are provided. Earn-Pool yields are furthermore boosted with VSP-Tokens, which in turn exhibit more sell pressure on the VSP-Token.
Since deep liquidity is a hallmark of a healthy protocol, we have to consider adding mechanics so that we may transition into a protocol which owns its own liquidity.
There are different methods by which one could achieve that:
One method may be the method of Olympus PRO, which uses bonding to sell native assets at a discount with a vesting schedule in return for LP-Tokens. The method offers a long term investor the possbility to enter a position more cheaply and is mathematically identical to a covered call / discount certificate, while also strenghtening the protocol via offering protocol owned liquidity.
Another method, could also be the method of Geist Finance, where people can directly sell their LP-Tokens for instant arbitrage. So a part of the fees the treasury collects could be used to build a treasury, which offers buying LP Tokens for a premium compared to current market rate.
Furthermore, since VSP is looking into transitioning into ve-vVSP or vlvVSP or vlve-vVSP model, you could also offer the feature in 2a) only to people who are also in ve-vVSP positions and therefore longterm incentivized, thereby only offering arbitrage to long term minded investors.