Volatile Token AMMs

List of general purpose AMMs for volatile tokens on Shell

Overview

Despite their popularity, many tokens like ETH and BTC can fluctuate wildly in value. Since they are so unpredictable, these 'volatile' tokens make it a bit trickier to design an AMM perfectly tuned to their ups and downs. Nevertheless, it is possible to create a better AMM than the simplistic constant product AMM by using historical price data and fitting that information to a curve with concentrated liquidity.

Shell's initial volatile-to-stable pools are designed so that when the pool's liquidity is split 50-50 across both tokens, the swap rate uses the median dollar value of the volatile token over the last year.

Primitives

ETH+USD

WBTC+USD

ARB+ETH

MAGIC+ETH

REUNI+ETH

STG+ETH

Last updated