Anon, I spent some time with the kind sers of the @OlympusDAO discord this morning and achieved minimal understanding of $OHM bonding from my new ohmies which I duly attempt to synthesize 4 U:

1/ To get up to speed on $OHM, you are advised read the stuff on @OlympusDAO medium & discord. This thread is about how the $OHM treasury funds itself through bonding, for simpletons like mee. (Advanced ohmies kindly requested to pls correct anything wrong or confusing here.)

2/ OK you've now read the stuff so you understand that the $OHM treasury is designed to provide yield on $OHM in perpetuity. Bonding gives the treasury funds, which supports future yield. How does that work?

3/ Anon, let’s say you acquire 1 $OHM by swapping $DAI for $OHM on sushi. You can just stake your $OHM and earn large swaths of yield, over time, compounding automatically (3, 3).

4/ Another option: instead of staking the $OHM you just acquired, add it back to the $DAI- $OHM liquidity pool in @SushiSwap and trade your DAI-OHM LP for bonds that pay out $OHM to you over the next ˜5 days.

5/ Q: Why would you do that? A: Because you get a discount on $OHM when you acquire through bonds, so you could end up with more $OHM for the same amt of $DAI. The discount is dynamic and I don’t understand the math behind it (F U anon, my skull is thick).

6/ But I understand the discount adjusts based on the supply & demand of bonds. When discount large, degens buy bonds; discount go small.