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 […]
Category: Non Fiction
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 […]
How to Read NFT Data Entries on Stellar
NFTs on Stellar utilize a Data Entry to hold the IPFS hash or CID for the content being tokenized. Once locked, the NFT’s issuing account will forever point to a single IPFS hash regardless of changes to the token’s toml, which is stored elsewhere and can be modified. Some have chosen to link the NFT’s […]
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 […]
The Grind: Small Account Market Making
One Trade is Legion The Grind is not about a single trade. It is about stacking both buy and sell orders in a series of trades in order to profit off the spread while helping the market maintain liquidity. This is quite a different view of markets than taken by the average trader. It is […]
Pavlov’s Audience
Classical Conditioning and the Invention of the Laugh Track I didn’t know what irony was when I first watched Hogan’s Heroes. I just knew I liked it. The theme song made me feel something, some strange blend of rebellion and optimism, like whistling past a graveyard. It was funny, but not in the way other […]