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  • Introduction
    • MachineX
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  • Protocol
    • Concentrated Liquidity
    • Legacy Liquidity
    • Fee Distribution
    • Network-Level Incentives Pool
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  • Volatile
  • Stable
  1. Protocol

Legacy Liquidity

Legacy pools are the traditional Uniswap V2 and Stableswap pools with some modifications throughout iterations. Legacy pools can either be Volatile or Stable:

Volatile: Uniswap V2

Stable: Stableswap

Volatile

Volatile legacy pairs are akin to the typical Uniswap V2 balanced pools that have existed for many years. The swap curve is:

x∗y=kx∗y=kx∗y=k

The balance of TokenA and TokenB in the pool will be of equal value to each other. For example, if there is an ETH-USDC legacy volatile pool, and ETH price is currently 4000 USDC, the pool will have 1 ETH per 4000 USDC.

Volatile pools are recommended for low-maintenance set and forget liquidity providing of non-correlated assets

Stable

Correlated legacy pairs are akin to Curve's Stableswap pools which provide low slippage for traders. The swap curve is:

xy(x2+y2)>=kxy(x^2+y^2)>=kxy(x2+y2)>=k

The balance of TokenA and TokenB in the pool will vary based on the current place on the price curve. The closer each asset is to each other in pricing, the closer to 50/50 the pool will be.

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Last updated 9 days ago