Apropos of...

Uh oh - I had to look at bonding curves.  They look to me like a fake market mechanism that can only work on fake assets.  The reason I say this is that an important input into real asset price is information and news - because the world changes.  It's why supply and demand curves only work on chalkboards... discuss.

Tradfi coder by day, hacker by night. Doesn’t know night from day. Freelance scribe. Dad cook. Dog butler.  Happy Grandpa. Draws badly.

The train being on tracks doesn't prevent it from moving, although it does restrict where and how it moves.

Just like all markets bonding curves get more accurate with deeper liquidity. It’s less about the curve imo.

Assets priced on bonding curves can still be sensitive to information and news though. The bonding curve basically ensures that you can always sell back into the pool (or burn your tokens, depending on the structure). So price can crater fast if people panic sell