KETJU Research

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Liquidity pool

Motoswap Farm

Rejected The evidence weighs against it
Issued
2026-09-30
Last confirmed
2026-09-30
Next check due
2026-12-30
Chains
Ethereum · No freeze key
Symbols
MOTO-WETH USDC-MOTO

Motoswap is a fork of the Uniswap v2 pool design on Ethereum that charges 1% a swap and pays part of it back to traders and MOTO stakers. The feed lists two farm pools, MOTO/WETH at about $523,000 and USDC/MOTO at about $11,000 on 2026-09-30, both below the size floor the below-materiality dossier sets, so the individual review is not opened. Each pool is half MOTO, the protocol’s own token, and the farm whose rate the feed shows has ended; the pools now pay trading fees only. This is a class disposition with a recorded reopen condition, not a researched rejection.

The research file

Mechanism applicability

A liquidity provider deposits both tokens of a pair at equal value and earns 0.30% of every swap through that pool, paid into the pool. The other 0.70% of the fee goes to rakeback for the trader (0.20%), MOTO stakers (0.20%), the treasury (0.20%), and buying and burning MOTO (0.10%). Both listed pools pair MOTO, so a provider holds half the position in MOTO and takes the full loss from a fall in its price against WETH or USDC. MOTO has a fixed supply of 10 billion, with no mint function. The treasury holds 35% of it: 16% to spend now and 19% released in ten steps over about five years.

Protocol-specific operating evidence

The launch farm paid MOTO for 14 days, half at once and half over 180 days, and closed when the exchange opened. Motoswap’s docs say there is no new farm, so the 30% to 40% rates the feed reports describe rewards that no longer accrue. The docs list verified contracts on Etherscan and name no audit, and DefiLlama records none. Several fee settings can be changed by the owner, and the stakers’ share of fees waits in the fee collector until an upgrade to the staking contract registers reward tokens. These are evidence pointers; the size floor stops this file before the owner keys and the router code are verified.

Exit consequence

A provider removes liquidity from the pool at any time with no lock. The exit returns MOTO, and turning that into dollars means selling it into these same pools or others as thin, so a client allocation of any size would move the price it exits at.

Why the class rule decides

The shared v1 below-materiality dossier controls this application. Reopen only after a reproducible survey shows protocol TVL above the floor for 30 days, and only for a pool that does not pair the protocol’s own token or pays a rate from fees the survey can reproduce. Crossing the size line would trigger that work, not confer approval.

Research status

Reported TVL is a scale observation, not quality, eligibility, or executable withdrawal evidence. The individual review of the economic claim, the control path, the loss path, and exit capacity at a proposed size opens when the protocol clears the size floor.

Sources

The claims above trace to these. Where a number could not be independently verified, the thesis says so.

Inherited controls

The research above describes the protocol layer. Every position also inherits the asset it holds and the chain it settles on. The layer with the most administrative power sets the position’s effective control; that describes control, not quality or suitability.

ChainVerdictControlControl constraint
EthereumApproved No freeze key No sequencer, no upgrade key, no operator who can be compelled. Rule changes require social consensus.
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