Market structure

Constant-product pool arithmetic

A basic AMM prices trades along a reserve curve.

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Overview

A basic AMM prices trades along a reserve curve.

Finite size moves price, so average execution differs from the initial quote.

Calculate from reserves and include fees.

markets

A pool equation makes the execution price depend on the size of the trade relative to available reserves.

history

Fundraising, token rights and paid distribution became tightly connected.

markets

The chain and contract or mint establish which token is being discussed.

markets

Profitable positions are reduced when the venue cannot absorb another account's deficit.