Application of drifted Brownian motion in dynamic pricing of constant function market makers
This paper builds upon the price dynamics models proposed by Joseph Najnudel et al. Within this paper, we propose a reference price following geometric Brownian motion with drift μ. The Constant Function Market Makers (CFMM) price is bounded by γ·(reference price) and (1/γ)·(reference price) for som...
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| Format: | Final Year Project (FYP) |
| Language: | English |
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Nanyang Technological University
2024
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| Online Access: | https://hdl.handle.net/10356/175535 |