For large stablecoin swaps, how do they keep slippage so low?
The constant-product model spreads liquidity across every price from 0 to infinity. For assets that should be exchangeable at a 1:1 ratio, most of that liquidity is actually wasted.
Practical insights may seem useless in everyday situations, but you’ll know their value when you hit a pitfall.
Don’t take a large position in a product you don’t understand. Try it with a small amount first.
$CRV 0.2177（-7.68%）
This article is for informational purposes only and does not constitute investment advice.
The constant-product model spreads liquidity across every price from 0 to infinity. For assets that should be exchangeable at a 1:1 ratio, most of that liquidity is actually wasted.
Practical insights may seem useless in everyday situations, but you’ll know their value when you hit a pitfall.
Don’t take a large position in a product you don’t understand. Try it with a small amount first.
$CRV 0.2177（-7.68%）
This article is for informational purposes only and does not constitute investment advice.