Replica del valor de un pool (CPM) y hedging de perdidas impermanentes

Fuente: arXiv
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Autori principali: González, Agustín Muñoz, Dembling, Juan I. Sequeira y Ariel
Natura: Preprint
Pubblicazione: 2024
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author González, Agustín Muñoz
Dembling, Juan I. Sequeira y Ariel
author_facet González, Agustín Muñoz
Dembling, Juan I. Sequeira y Ariel
contents This article analytically characterizes the impermanent loss for automatic market makers in decentralized exchanges such as Uniswap or Balancer (CPMM). We present a theoretical static replication formula for the pool value using a combination of European calls and puts. We will formulate a result to guarantee coverage for any final price that falls within a predefined range.
format Preprint
id arxiv_https___arxiv_org_abs_2412_09662
institution arXiv
publishDate 2024
record_format arxiv
spellingShingle Replica del valor de un pool (CPM) y hedging de perdidas impermanentes
González, Agustín Muñoz
Dembling, Juan I. Sequeira y Ariel
Mathematical Finance
Risk Management
91G15
This article analytically characterizes the impermanent loss for automatic market makers in decentralized exchanges such as Uniswap or Balancer (CPMM). We present a theoretical static replication formula for the pool value using a combination of European calls and puts. We will formulate a result to guarantee coverage for any final price that falls within a predefined range.
title Replica del valor de un pool (CPM) y hedging de perdidas impermanentes
topic Mathematical Finance
Risk Management
91G15
url https://arxiv.org/abs/2412.09662