DeFi's Concentrated Liquidity From Scratch

Fuente: arXiv
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Main Authors: Richardson, Mark B., Loesch, Stefan
Format: Preprint
Published: 2024
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author Richardson, Mark B.
Loesch, Stefan
author_facet Richardson, Mark B.
Loesch, Stefan
contents The scope of this article includes the three preeminent descriptions of concentrated liquidity from Bancor (2020 and 2022), and Uniswap (2021), as well as three additional descriptions informed by trigonometric analysis of the same. The purpose of this contribution is to organize the seminal and derivative forms of this cornerstone DeFi technology, and algebraically and geometrically elaborate these descriptions to achieve an authoritative and near-exhaustive overview of the underlying theory powering the current state-of-the-art in decentralized exchange infrastructure. This material was created for the Token Engineering Academy Study Season 2024, a cohort-based online program scheduled for April-July 2024. The Study Season offers access to a bachelor-level online learning program, and complementary live tracks with the most influential practitioners and researchers in the sector - all provided as free, public goods.
format Preprint
id arxiv_https___arxiv_org_abs_2407_02496
institution arXiv
publishDate 2024
record_format arxiv
spellingShingle DeFi's Concentrated Liquidity From Scratch
Richardson, Mark B.
Loesch, Stefan
Mathematical Finance
The scope of this article includes the three preeminent descriptions of concentrated liquidity from Bancor (2020 and 2022), and Uniswap (2021), as well as three additional descriptions informed by trigonometric analysis of the same. The purpose of this contribution is to organize the seminal and derivative forms of this cornerstone DeFi technology, and algebraically and geometrically elaborate these descriptions to achieve an authoritative and near-exhaustive overview of the underlying theory powering the current state-of-the-art in decentralized exchange infrastructure. This material was created for the Token Engineering Academy Study Season 2024, a cohort-based online program scheduled for April-July 2024. The Study Season offers access to a bachelor-level online learning program, and complementary live tracks with the most influential practitioners and researchers in the sector - all provided as free, public goods.
title DeFi's Concentrated Liquidity From Scratch
topic Mathematical Finance
url https://arxiv.org/abs/2407.02496