🏊 Pools

🚪 Introduction

Aptoswap protocol is a combination of Uniswap-V2 and Uniswap-V3 and Curve. It allows Aptoswap to maximize the possibility to boost general assets as well as pegged assets swapping. In the future, Aptoswap protocol can also allow liquidity providers to boost their profit rewards by centralizing their liquidity to a custom price range.

💱 Pool Type

Aptoswap can currently construct 3 types of pools for liquidity providers and swappers:

1. General liquidity Pool

Aptoswap implements theUniswap-V2 constant product algorithm XY=K for creating a pool for general token swapping. Aptoswap users could use those pools for uncorrelated token swapping such APT/USDC, APT/USDT.

2. Stable Swap Pool

Aptoswap implements theCurve stable swap algorithm that is used for pegged assets swapping to centralize the liquidity to the pegged price. Users could use those pools for stable coin or pegged assets swapping such as tAPT/APT, USDC/DAI, and USDC/USDT.

3. Whirpool

Aptoswap implements the Uniswap-V3 algorithm that allows liquidity providers to provide liquidity within a user-specified custom price range to centralize their liquidity and boost their rewards.

💱 Connect Pool

Some pools could be connected to another platform token pool.

When a pool is connected, part of the trading fee (called connected fee) is used to automatically buy back platform tokens from its connected platform token pool and rewards to liquidity providers when they withdraw liquidity.

For example, A BTC/USDT pool could be connected to an APTS/USDTpool with connect fee setup to 0.02%. When someone trades BTC/USDT, 0.02% of the income or outcome USDT will be used to buy platform token APTS from APTS/USDT. Those buy-back APTS tokens will be stored and rewarded to the BTC/USDT liquidity providers as additional rewards when they withdraw liquidity.