xPadawan

AMM Fundamentals and meme coins. This morning, I saw some @MultiversX team members changed their X avatars to something I don't know how to describe. Suddenly, in an ecosystem where meme coins are not a big topic, the meme coin $JACKET skyrocketed in price because @beniaminmincu asked where his jacket was in the picture. There will probably be 100 meme coins popping up in MulitversX after this. Though I know that we, in this industry, are deeply unserious people, and probably nobody would care, I still feel the need to write something about Automated Market Makers (AMM) that you should know before aping in any meme coins. Meme coins like $JACKET are often listed on exchanges that use the UniswapV2-like exchange such as @OneDex_X . The spot price, which you see on any app is usually calculated as y/x with x being the reserve of token X and y being the reserve token Y. For $JACKET, there are ~84,869,141 $JACKET and ~220 $EGLD in the pool, which means with the price of $EGLD being ~$60, the spot price of $JACKET can be calculated as 220*60/84,869,141~$0.0001555. Yesterday, the price jumped 615%. Amazing, everyone holding $JACKET is 6 times richer in an instant, right? Not quite, the devil is in the details. The current liquidity on OneDex for $JACKET is ~$26k, $13k each, doing some algebra gives us a buy order of $18k (300 EGLD) would pump the price by another 6 times. That's not a small amount of money, but not that hard to manipulate. That's not all, another feature of CPMM is path-independence. Ignore the technical details, the thing you should know is if an $18k buy order can 6x the price, an $18k sell order then would make the price decrease by 6x. If you hold $100k worth of $JACKET, you think you're rich, then you decide to sell, suddenly you realize you're not as rich as you thought. The meme coin creators, though not all of them, normally would create a small liquidity pool, add little liquidity, and make buy orders to artificially pump the price. People see that, do not care enough about liquidity, ape in, pump the price even more due to the lack of liquidity. It's all well and good until someone decides to sell a big number of tokens or withdraw the liquidity. I'm not opposed to the concept of meme coins, but make sure you understand the liquidity of the token, it is probably not what it seems like.

I see activity on the meme side starting to show up on @MultiversX . Now we need to see MVX on @dexscreener . That is where most degens waist their precious time gambling on shitcoins trying to make a story. Share this post until we get it done 🫡🫡

More memes?

When EGLD touches 1000$ I will put @X_Padawan_ too just for the culture 😂😂 Now we just need to make it happen 🚀

🌐 OneDex Limit Order Update New pairs have been added to the OneDex limit order module and are now live following community requests: 🔘 RONE/WEGLD 🔘 PADAWAN/WEGLD 🔘 TADA/WEGLD ➕CYBER/WEGLD - Limit orders are now available following an internal review. #OneDex #MultiversX #EGLD #DEX #DeFi

1/2🔥Burn competition🔥 for the coolest token on #MultiversX $PADAWAN: buy at least 1 batch of $PADAWAN token (amount may vary) + equivalent in $EGLD and burn🔥it via @BurnifyApp. The more batches - the more chances to win. @X_Padawan_ @BurnifyApp

In the face of unfathomable challenges, it's heartwarming to witness our community rallying together. Amidst the turmoil, there's a glimmer of hope for humanity 🙏 @PulsarTransfer send 300 RARE to 300 reactions For those who haven't heard, we're extending our support to @docdaniel, fondly known as Erin. She's bravely battling cancer while also recovering from a recent scam that tragically wiped out her entire bank account 😢😢 We cherish our community ❤️ and each individual within it. Thanks to a generous donation from @dnsv123, who deeply understands the strength of community bonds, we're orchestrating an auction on our Discord channel. discord.gg/SuperRareBears All proceeds will directly benefit Erin, transferred to her in $EGLD. Here's what's up for grabs: - 20 Hypeys - FP - 0.162 - 1 Globees Letter - FP - 6 - 4 Hypey Portals - FP - 0.19 - 1 Emidas Genesis - FP - 3 - 8 SRBs - FP - 0.64 - 8 Mice City - FP - 0.189 - 2 Vapor Republic - FP - 0.35 - 1 OCS - FP - 1.45 - 5 BAXC - FP - 0.17 - 1 EApe - FP - 3.5 - 10k $RARE Come & make your bid Today, 19.00 UTC If you have any spare funds, you can send $EGLD directly to her @coinbase wallet (EGLD only) erd18xkxwtzht9jkxh6wzcg87hahm6rycj2s40a0gsrv4f5754z0jqqq9967w6 Let's come together and make a difference for Erin! #MultiversX #community #auction #NFT

Who will become the first @X_Padawan_? 🔥 @MultiversX @FortniteGame @xoxnoNFTs

⚡@MultiversX Arena Official Trailer ⚡ BETA VERSION coming February 23 In @FortniteGame Be there! #FortniteChapter5 #MVXArena

I will give 10 EGLD to the best meme using the TV behind @beniaminmincu as a panel for jokes Competition ends in 6 days, if you also guess the announcement part of the meme submission you get 5 extra EGLD @beniaminmincu second account is not eligible for submissions 😅😂😂