Partnerships are more than just press releases for #FalconFinance and its FF token. They are a part of the very fiber of how the protocol grows, how it remains safe, and how it builds trust. When you hear people talking about why $FF partnerships benefit Falcon Finance, it all boils down to this: Falcon Finance does not build everything by itself.
Overall, one of the major advantages offered by excellent partnerships is risk diversification. Falcon Finance partners with other platforms, asset managers, and infrastructure providers to diversify liquidity risk. The protocol relies not on a single source but on various systems. The idea is to balance risk when markets become volatile.
Partnerships will further enhance liquidity quality in addition to increasing liquidity. When Falcon works with trusted partners, it gets access to deeper liquidity and not just liquidity. Working with trusted partners will make the protocol function effectively regardless of increased demand. Liquidity levels in such a case will enable seamless execution and reduce pressure on reserves to function.
A third important factor is credibility. Trust in the crypto space is established by actions, not words. With every new partnership, Falcon sends a message that another project has assessed Falcon’s structure and decided to collaborate with it. Thus, over time, a reputation system is established. A new participant feels safer joining an ecosystem with which other reliable participants have already partnered.
Partnerships enable Falcon to work at a faster pace. Falcon could have ended up spending time and effort refining existing solutions, but with partnerships, Falcon gets to incorporate better solutions from other people. Therefore, Falcon can achieve all this in a short time.
Lastly, partnerships aid in growth in the long run. Partnerships bring in new use cases, new users, and new markets. Every new partnership brings in a new way of using $FF, making $FF more useful and less reliant on hyped moments.
In other words, FF partnerships make Falcon Finance a network, not a silo. Secondly, in crypto, good networks outlast good projects
@Falcon Finance #FalconFinance $FF
