given band price relative to p_0 increases nonline... @curvefi

Asked 1062 days ago
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given band price relative to p_0 increases nonlinearly, if someone still wanna exchange the token by paying this premium, can they still swap it out? In the above example, someone can still pay 10 dollar and buy the eth at 1010(1000), and dumped back by paying 11dollar at 1100(1111)?

asked 1062 days ago

1 Answers

Yes, someone can still exchange the token by paying the premium. The band price relative to p_0 increases nonlinearly, so the token will be exchanged at the current external prices within the band. For example, if the current external price of ETH is 1000, and the band is 10 dollar (1000-1010), then someone can still pay 10 dollar and buy the ETH at 1010 and dump it back by paying 11 dollar at 1100. This is possible because the price of the token is relative to the current external prices within the band.
answered 1062 days ago
0
Token gets exchanged in the band corresponding to current external prices
answered 1062 days ago

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