Let's talk about stablecoin exchange pools:
Curve has launched its own stablecoin, crvUSD, using a gradual liquidation mechanism called LLAMMA.
The constant product model spreads liquidity across all prices from 0 to infinity, so for assets that are supposed to exchange 1:1, most of that liquidity is actually not useful.
$CRV 0.3576 (+5.99%)
#CRV
For reference only, not investment advice.
Curve has launched its own stablecoin, crvUSD, using a gradual liquidation mechanism called LLAMMA.
The constant product model spreads liquidity across all prices from 0 to infinity, so for assets that are supposed to exchange 1:1, most of that liquidity is actually not useful.
$CRV 0.3576 (+5.99%)
#CRV
For reference only, not investment advice.