> For the complete documentation index, see [llms.txt](https://hyperspac3.gitbook.io/docs/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://hyperspac3.gitbook.io/docs/risks-and-mitigation/liquidity-risks.md).

# Liquidity Risks

**Risk:**

Insufficient liquidity could lead to trading challenges on DEXs and reduce the appeal of $SPAC3 to potential investors.

**Mitigation:**

* **5% Liquidity Provisioning**: A dedicated allocation ensures that liquidity is adequately maintained on decentralized exchanges.
* **Treasury Flexibility**: If additional liquidity is needed for centralized exchange listings or market-making, the **Treasury** allocation provides a financial buffer.
* **Staking Incentives**: Encouraging liquidity providers with staking rewards further strengthens liquidity pools.