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Invariant Curve

With the above definition in mind, Wombat’s invariant curve is defined as follows:
Lx(rxArx)=D\sum{L_x (r_x - \frac{A}{r_x})} = D
rrₓ
= coverage ratio of token x
AA
= amplification factor
During a swap, the right-hand side of the invariant remains constant.
The invariant has some favorable properties, including:
  • The number of assets in a pool is unlimited. One can add and remove assets on the fly.
  • The weight of assets is flexible. A protocol can emit more rewards to a token in the pool with higher buy pressure to selectively deepen liquidity.
  • Users can provide single-sided liquidity.

Dynamic Pool

Dynamic pool supports tokens with distinct prices, as supplied by external price oracles, the invariant curve is defined as follows:
Lxpx(rxArx)=D\sum{L_xp_x (r_x - \frac{A}{r_x})} = D
pxp_x
= oracle price of token x
More details could be found here