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

MintClub

Farconic

Working on Airstack and Moxie | airstack.xyz | moxie.xyz | hihi! 


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!

💯 finding that tension between contrived liquidity (price ceilings  |floors) & free market is a ripe area for experimentation.