An analysis of Uniswap markets

I think it’s helpful to contextualize this paper. This was released in the early days of Uniswap but 1) there were also a lot of questions at the time about security and efficiency of AMM-based DEX’s and 2) this paper has allowed for future analysis that hinges on the idea that a number of CFMM equations are convex (e.g. Research Summary - Why Stake When You Can Borrow?)

The idea of using convex optimization problems to approach AMMs and curvature has allowed for a deeper understanding of the nature of CFMMs and GMMMs. These types implementations have proliferated in DeFi since the time of this paper ( Uniswap, Balancer, Curve, etc.).

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