🚨 Public Service Announcement Dexter is now rebranded as the Persistence DEX 🤩 dexter.zone has migrated to persistence.one. Trade or provide liquidity directly on 👉app.persistence.one Learn more: blog.persistence.one/2024/06…

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Dexter is $103,718.56 away from crossing $20M traded on @PersistenceOne 🦾 Who's taking us over the line then? 😉

What is the new Price Impact feature on Dexter? We’re thrilled to unveil a new feature on @dexter_zone designed for liquidity providers in the stkXPRT/XPRT pool: The Price Impact tool 📊✨ If you’ve ever wondered how adding liquidity affects the stkXPRT/XPRT pool’s price, then this new feature allows you to see the impact on the price when adding liquidity. The Price Impact feature is now live on the stkXPRT/XPRT pool and will be coming to other pools very soon. Why Does This Matter? 🤔 The Price Impact tool isn't just a fancy feature; it's your foresight to strategic liquidity provision. By revealing the direct effects of your actions, liquidity providers receive the following benefits: - More informed decision-making - Ability to optimize returns - Support optimal pool health While the price impact feature may seem like a small tweak, its benefits are far-reaching. It equips you with the knowledge to make informed decisions, ensuring you get the best prices and contribute to the pool's health by a healthy arbitrage opportunity. It allows $XPRT holders to determine whether they’re getting better prices and whether they’re adding liquidity in favor of the pool. As the price impact of a pool is directly correlated to the liquidity of an asset, if you add more of one asset to a two-sided pool, the balancing of the pool changes, and subsequently, the price will be impacted. The stkXPRT/XPRT pool’s current liquidity ratio stands at 78% : 22%. While the liquidity ratio of the pool is dynamic, understanding the impact on prices is essential. For example, if you just added XPRT to the pool, you’ll see a positive price impact, as it favors the pool's balancing. But how is this favorable for you? 🔍 Let’s take a look at an example with some quick math: You supplied USD value: 10,000 * (@ XPRT Price; 2.58) = 2,580 USD LP Token received: 10,210 Example values below: - Pool ratio (after liquidity addition): 30% XPRT <-> 70% stkXPRT - TVL: 479,754 - LP Token supply: 1844244 - USD value per LP token post liquidity addition: TVL of pool / (LP token supply) = 0.2601 (dynamic) LP Example Gain: User’s LP share nominal worth: 0.2601 * 10,210.02 = 2,655 - $ value gained by the user: 2655-2,580 = 75 USD - % gain to user (price impact) = 75 / 2,563 = ~0.3 % On the other side, let’s assume you added only stkXPRT to the pool. This would result in an imbalance of the pool’s liquidity as there would be more stkXPRT than XPRT, negatively impacting its price; ~1% might seem like a minimal drop, it’s still important to be aware of, as additional similar deposits would result in stkXPRT holders receiving fewer XPRT when redeeming their assets through the pool. Overall, we’re excited to share this price impact feature with you. Although it's a modest change, we believe it will help liquidity providers contribute to the health of the stkXPRT/XPRT rate and avoid price volatility when adding liquidity 🤝

14/As a result, users may end up with an illiquid token!

13/ Because, in the Cosmos network, assets are tagged based on which chain they've been transferred from. Usually, a particular version of $ATOM, transferred from chain A, for example, can be much more useful than the ATOM transferred from chain B.

11/ Another example is @tfm_com; it is designed to improve the utilisation of all liquidities sitting on different DEXs, effectively creating an efficient super pool. This will, in turn, attract more users and increase trading volumes.

10/ Being added to the Skip API instantly offers distribution across the interchain for your DEX. Following a recent Persistence chain upgrade that happened, Dexter's integration with Skip API is right around the corner.