Arbitrage

JOO can be traded on decentralized exchanges on BNB, establishing a market that is independent of the protocol's smart contract. This may result in price discrepancies between the smart contract price and the DEX trading price, ultimately creating arbitrage opportunities for traders.

For example, when the DEX price drops below the contract price, anyone can buy $JOO on the DEX, borrow $BNB from the contract, and deliberately liquidate it within a day. This completes the arbitrage transaction. While performing these arbitrage actions, arbitrageurs are paying fees to the protocol and to JOO liquidiy providers.