Automated Market Makers (AMMs) have become central to the functioning of liquidity across networks like Stellar. One of the most important aspects of AMM-based trading is understanding how price impact and slippage affect trades and liquidity pool performance. This post explores how these dynamics work, why they matter, and how they influence returns for liquidity […]
Category: Non Fiction
Potential Methodologies for Calculating Optimal Pool Ratios
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 […]
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 […]
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 […]
The Great Cross of Hendaye
An Alchemical Warning in Stone Deep in the town square of Hendaye, in the French Pyrenees near the border with Spain, stands a mysterious monument that has perplexed esoteric scholars for centuries. Known as the Great Cross of Hendaye, this 17th-century stone cross is more than a religious symbol, according to some interpretations, it is […]
Save Akoin
How a Noble Vision for Africa Was Undone—and How to Fix It Akoin was launched with a bold vision to empower African entrepreneurs and revolutionize economic opportunity across the continent. Built on the Stellar blockchain, it was supposed to unify fragmented currencies, facilitate digital commerce, and give young people the tools to create, earn, and […]
Adding Value to NFTs on Stellar
It was January 2020 when I first heard that NFTs might soon become possible on the Stellar network. Most people understood that NFTs, or non-fungible tokens, were going to be important for personal identification, medical records, and ownership of real-world items. Personally, I had hoped to issue Kindle-like digital books as NFTs and found Ethereum’s […]