Jason Goldberg Ⓜ️ 💜
@betashop.eth
i've been kinda obsessed with Bonding Curves smart contracts lately as they can ensure constant liquidity. Any quantity of tokens can be purchased or sold at any time, with the price being dictated by the curve, reducing the typical risks associated with illiquid markets. "Bonding Curve" is big word though and can represent many different things, as depending on the formula for the curve the associated product can range from non-speculative to wildly speculative so the first thing i always do when seeing a new bonding curve project is to plug the formula into simulator (or chatgpt) to graph the curve for example, a new project launched yesterday (not naming names) -- here is the curve = hugely speculative it's important to note this because if a project's stated purpose is utility but the curve is speculative, there will likely be an imbalance
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logonaut.eth 🎩🍖↑🔄🐹
@lo
I so appreciate this kind of insight. Thanks, Jason. For contrast, can you share a curve that you’d consider nonspeculative — and maybe one that you feel would be in a kind of in-between gray area? 🍖 x 500
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kompreni 🅱️
@kompreni
lol we all know lunchbreak launched yesterday
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✿ Gil & Yoni Alter ✿
@gilalter.eth
Bonding Curves are great, but they're definitely not fit for all purposes. No need for liquidity at all costs in every case. A downside is that the liquidity is just locked, kind of 'wasted' in there. So an inefficiency. We're using /mintclub's BC protocol for our game, /farconic!
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MoMah 🍋
@mantaghe
👌💎
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Maven99
@skywalkhd
Absolutely, bonding curves can be a game changer for liquidity! But you're right, the formula is key. Always good to visualize the curve to understand the project's true nature. Misalignment between stated purpose and the curve can definitely lead to issues. Stay vigilant!
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Nastaran
@nastaran
I remembered high school
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nadxxyd
@oxyuyb-nbxx
great
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Kumar Gaurav
@kumaargaurav37
"Bonding curves are indeed fascinating! They simplify liquidity management in token markets, offering a dynamic price mechanism. It's great to see innovations making markets more accessible and resilient."
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