@ImnotleavingE@THORChain If 600k is sent to POL, half would be sold to buy exogenous assets (to thus create the pairs). The ADR aims to not sell any RUNE
@SirRawcha@thewolfofdefi@THORGuards So $200k from $bRUNE as seed. Where does the other 800k RUNE come from? And that 1m RUNE sacrifices its yield to THORGuards??
And this is just the beginning with much more to come.
Imagine a custom LP position that automatically follows price (Dynamic Custom Concentrated Liquidity; aka DCL).
Or classic cash-and-carry vaults. Think Ethena but w/ native BTC, no bridges, no wrapping
Or Arb strategy vaults
USDC yield optimization vault
Funding rate flip vault (automatically flips when rate flips positive/negative)
Delta hedge vaults
@RunemirQi@PaSantomas In the midst of the debacle, when things seemed most bleak, at dawn we looked to the east - and there upon a white horse we saw @AaluxxMyth
With this, all the pieces are in place.
Upgradeable liquidity model for @THORChain's LP, including high assets like bitcoin:native that have been locked for 12+ months.
Concentrated Custom Liquidity today.
Dynamic Custom Liquidity tomorrow.
All of it in order to capture arbitrage profits for $RUNE and $RUJI bonders, and minimise price dislocation of base layer pools == winning more swaps
Watershed moment
https://t.co/ikeTQQHbFM
@robertdavid010@Shft_Ctrl@THORChain Hearing whispers of rumors about new node operators being recruited and trained. Not just one or two, but double-digit. And that's all been in the last 24 hours
Normal THORChain swaps happen only at the very end of each block, in a fixed order. This makes it (nearly) impossible to do perfect, instant arbitrage between the base layer and app layer.
Rujira's "Virtualization Strategy" solves this problem. When you want to swap (e.g. USDC → BTC), Rujira lends you the BTC immediately from its lending pool. You get your tokens right away. At the end of the block, Rujira does the actual swap on THORChain and settles everything. They charge a small premium for this service and take on a tiny bit of risk.
Because Rujira is constantly doing this, it creates automatic arbitrage every single block (when there's enough price deviation). It keeps the prices on THORChain more balanced and accurate.
Users get better prices (less slippage) than before. Swaps become much faster (especially when combined with Rapid Swaps). Rujira stakers share in the revenue generated by this flow.