# 7.3 Dividend Mechanism & Platform Regulation * **On-Chain Transparency:**\ **All dividend calculations and distributions are automatically executed by smart contracts on-chain, ensuring complete transparency, fairness, and auditability.** * **Multiple Safety Thresholds:**\ **Dividends are only activated once the platform liquidity pool and NFT sales reach secure thresholds, strictly preventing farming exploits and potential risks.** * **Dynamic Adjustment:**\ **The project team can dynamically optimize hash power incentives and dividend strategies based on platform performance and market conditions, ensuring ecosystem resilience and financial security.** **With top-tier financial engineering and a fully transparent on-chain dividend system, SquidVerse delivers a high-value, sustainable incentive loop for liquidity providers and long-term participants. Every contribution strengthens the consensus and growth of the platform.** \[User purchases NFT] \ │ ↓ \[NFT sales funds injected into LP pool] │ ↓ \[Users/institutions participate in LP liquidity] │ ↓ \[Gain static/variable hash power] │ ↓ \[LP dividends & ecosystem incentives] │ ↓ \[User earns points (X-Squid)] │ ↓ \[Convert points to governance tokens (Squid3) by multiplier] │ ↓ \[Governance tokens participate in ecosystem governance and value cycle] --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://squidverse.gitbook.io/squidverse/7.-lp-hash-power-and-dividend-system/7.3-dividend-mechanism-and-platform-regulation.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.