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docs/core-concepts/liquidity-pool.md

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+
+## Liquidity Pool
+
+There will be multiple liquidity pools. Each pool serves a specific purpose and has its own rules and mechanisms.
+
+We want to launch the liquidity pools 1-1-2026
+
+
+### CC-TFT
+
+- **Function**: Enables conversion between TFT and CC, its a position based liquidity pool.
+- **Source of Funds**: Only CC generated from revenue can be converted into TFTF
+- **Purpose**: Facilitates internal settlements and allows revenue to be converted into an asset (TFTF) that reflects the market value of TFT
+- **Flexibility**: Allows users to maintain TFT exposure while holding stable CC
+
+### CC-USDC Pool
+
+- **Function**: Provides a controlled bridge between the internal ecosystem (TFTF) and an external stablecoin (USDC)
+- **Purpose**: Enables fiat exit for operational needs while protecting against system drainage
+
+**Rules:**
+- **Dutch Auction Principles**: The pool operates based on [Dutch auction mechanics](./dutch-auction-exit.md)
+- **Liquidity Cap**: No more than 5% of the USDC liquidity in the pool can be used in a single transaction or period to prevent dramatic price shifts
+- **Minimum Margin**: A minimum discount of 20% is maintained, ensuring a margin for the pool
+- **Position-Based Pool**: The pool's mechanics are based on its current position and liquidity. More info at [Position Based LP](./position-based-lp.md)
+