论文标题
尾巴什么时候摇摆狗？曲率和市场制造
When does the tail wag the dog? Curvature and market making
论文作者
论文摘要
恒定功能做市商（CFMM）（例如Uniswap，Curve和Balancer）的流动性和交易活动在2020年下半年都显着增长。这些协议的大部分增长都是由激励池或“产量养殖”驱动的，这些养殖场所奖励了为CFMM提供流动性的加密参与者。结果，历史上很小的市场CFMM和相关协议现在构成了大量加密资产的最流动交易场所。但是，CFMM成为最流动的市场意味着什么？在本文中，我们提出了价格敏感性和流动性的基本定义。我们表明，该定义与CFMM交易功能的曲率密切相关，可用于解释许多启发式结果。例如，我们表明，低壮天面的市场非常适合其市场价值大约固定的硬币，并且在交易者具有信息优势时，高阳光市场对流动性提供商更好。此外，结果还可以用于建模相互作用的市场，并解释激励流动性提供的兴起，也称为“产量养殖”。
Liquidity and trading activity on constant function market makers (CFMMs) such as Uniswap, Curve, and Balancer has grown significantly in the second half of 2020. Much of the growth of these protocols has been driven by incentivized pools or 'yield farming', which reward participants in crypto assets for providing liquidity to CFMMs. As a result, CFMMs and associated protocols, which were historically very small markets, now constitute the most liquid trading venues for a large number of crypto assets. But what does it mean for a CFMM to be the most liquid market? In this paper, we propose a basic definition of price sensitivity and liquidity. We show that this definition is tightly related to the curvature of a CFMM's trading function and can be used to explain a number of heuristic results. For example, we show that low-curvature markets are good for coins whose market value is approximately fixed and that high-curvature markets are better for liquidity providers when traders have an informational edge. Additionally, the results can also be used to model interacting markets and explain the rise of incentivized liquidity provision, also known as 'yield farming.'
