Contrast POL with “Liquidity Mining” Programs.
Liquidity Mining (LM) programs incentivize users to provide liquidity by rewarding them with additional native tokens (emissions). This liquidity is "rented" and often leaves when the rewards decrease.
Protocol Owned Liquidity (POL) is liquidity that the DAO owns outright, typically acquired through bonding or direct purchase. LM leads to high token inflation and temporary liquidity, while POL offers permanent stability with lower inflation.