In decentralized liquidity systems, the ratio of assets allocated across pools can significantly influence earning efficiency, market stability, and price sensitivity. This post explores a data-driven approach to optimizing pool ratios using core performance metrics, dynamic adjustments, and system-aware constraints. The goal is to propose a speculative but structured framework for calibrating pool weights in […]
Category: Cryptocurrency
Alice: Onboarding
Welcome to Alice, an open and permisionless protocol that was built to provide steady returns against the US dollar. Simplifying the process of growing your savings. She is an experimental alternative to current savings options, operating autonomously and without the need for human input or management. Alice works 24/7 to grow the value held in […]
Key Insights into Liquidity Pool Dynamics
Liquidity pools are the backbone of decentralized trading platforms, but their success depends on more than just how much capital they hold. A deeper look at pool behavior reveals that the relationship between pool size, volume, and efficiency is complex, and getting it right requires a careful balance of several interrelated factors. I have identified […]
Price Volatility in AMM Liquidity Pools
Automated Market Makers (AMMs) play a central role in decentralized finance, but they also introduce unique behaviors in price volatility, especially when liquidity is unevenly distributed across trading pairs. By exploring both individual pool dynamics and system-wide liquidity effects, we can gain a clearer picture of how volatility emerges and propagates through AMM-based markets. Individual […]
Deflationary Compounding: Capturing Value from Market Volatility
I’ve watched digital markets long enough to notice something most people overlook: volatility itself can be a resource. What Is Deflationary Compounding? Deflationary compounding is a financial mechanism that systematically reduces token supply to increase token value through the mathematical certainty of automated market makers (AMMs). Think of it like a hydroelectric dam. The dam […]
Beta Testers Needed!
Hey everyone, I am looking for a few people to join the Stellar Drone Price Tracker Beta Testing group on Telegram. Specifically, I need a few people to test out the app before its official launch on Android and iOS. For those of you who don’t know, the Stellar Drones are a crypto project that […]
Fourth Anniversary of XH5
Today is the Fourth Anniversary of XH5, a personal cryptocurrency project built on the Stellar network that has revolutionized my perspective of finance. XH5 is what I think about every day in a quixotic attempt to obtain value like growth from volatile digital assets, while also exploring practical applications for my theory of deflationary compounding. […]
Leverage Supply Trades on the Stellar DEX
If you’ve been trading on Stellar’s decentralized exchange for a while, you’ve probably noticed that tokens with similar market caps can perform dramatically differently over time. What might look like random market behavior often reveals deeper patterns related to supply mechanics and liquidity distribution. Understanding these patterns can unlock what I call a “Leverage Supply […]
XH5 Quarterly Report – Month 039
The Stellar Drones are Headless Hello Friends, On March 1st, 2023 Keybase dropped support for the .pub domain used to host files for web access. This means that the Stellar Drone home domain will never again be a source of information about the Stellar Drones. It will no longer point to a toml nor will […]
XH5 Monthly Report 037
Coming to America Hello Friends, This is my last month living in Mexico for a while, time to head back to the United States to live in the backcountry desert of Arizona. The good thing about XH5 is that other than my regular token buyback schedule, it is completely automated. Even if I die of […]