Chris We'll expand on the token economics section of the Guide soon but the short answer is by minting a small percent of token. The percent we mint has a hard limit set in the smart contracts and goal is to obviously reduce that over time.
The reason we chose this approach is it aligns us with our users. We depend on the value of the Morpher network, just as anyone choosing to trade on Morpher.
I think it's way better than taking opposite sides of trades (CFD shops), where your loss is their gain. Or routing trades for broker kickbacks (commission-free brokers), where you pay higher price for stock so again your loss is their gain.