Concentrating liquidity around standard deviation from median or average price over a time period (say, 9 days as is accessible in v3), as opposed to rigid brackets can allow LP to “set it and forget it”, while maintaining reasonable revenue, and Range Order protection from sudden price drops with the reduced capital cost.
This can be applied by modifying the v3 curve formula so that p represents time weighed average price now and d is percentage deviation from that.
(𝑥 + 𝐿/√{𝑝+d𝑝}) (𝑦 + 𝐿√{𝑝-d𝑝}) = 𝐿2
Thus LPs can concentrate their liquidity assets by “bounding” it within the percentage deviation from the time weighed average price. (to use the v3 whitepaper language )
Not sure how much more computationally challenging this is, though.
Since in v3 liquidity tokens are NFTs, it would make sense to introduce a square root of time modifier to fee calculation, making the default fees (slightly) lower and growing to current levels and (slightly) beyond as time goes on. This would incentivise LPs to hold their liquidity pool on Uniswap, as they would loose the higher fees accrued. It can also make these NFT positions a desirable commodity traded as they are, rather than cashed in reducing liquidity. The prices for such “charged” tokens can be higher than the value of the assets they represent as an investor will buy them for future gains.
Hi,
I have a couple of questions with regards to the Staker.sol contract.
Are there any existing front end or UIs that allow for liquidity mining of Uniswapv3 LP NFTs?
The Tuple value parsed into the createincentive function in Staker.sol (reward token address, pool address, start time, end time, refundee address) somehow keeps throwing me an error when I tried testing on Rinkeby. I have ensured that the start and end time are within the checks of maxincentive duration…
this is my transaction hash: 0xf7579d8ae405a4eced9579a0f1bae80083a1627e8b24e2c8d531861e6fc01aea
is the incentive a 1-1 mapping to a particular pool? and with every pool being unique, is the staker.sol contract essentially just rewarding one particular pool? to put it in context, say there are 3 pools (A,B,C) for wbtc-weth pairing. if i were to create an incentive, I would be creating an incentive for pool A, not (A,B,C) based on that one function call?
Hey @papiporn, off topic from this thread but to directly answer your question about UIs and contracts for liquidity mining Uniswap v3 LP NFTs, we have what I believe is the first full suite front end at Frax Finance. For example, you can check out our Uni V3 farming pair UI and contracts here:
app .frax .finance/staking#Uniswap_V3_FRAX_USDC
We also allow locking the NFT LP for an additional boost to increase stickiness of the LP program. The farming contract also allows setting of range/ticks that are incentivized instead of generalized. The contract itself can be found here:
etherscan .io/ address/0x3EF26504dbc8Dd7B7aa3E97Bc9f3813a9FC0B4B0
I think the other protocol that might have full Uni v3 farming infrastructure other than FRAX is Gelato’s G UNI system. Maker is using them to manage their PSM module. I think they also are expanding it to generalized farming for end-users right now as well.
Off-topic for this reply thread but was curious to see what is held in the Uniswap treasury? From what I’m seeing in this thread, it seems like there is a mountain of Uni tokens and then some stable coins. Besides protocol fees, how are contributors being rewarded? Does the treasury plan to diversify more? Sorry not active in the community and trying to learn more about the treasury. Forgive the noob question please.
Are there plans to adopt a specific management toolstack to enable transparency and some degree of automation for this program?
For example, I’m thinking the payroll component could be automated to reduce time/effort needed on operations and ensure all full-time contributors or contracted (like Llama) get paid on time. I believe Coinshift recently did an integration with Superfluid, so DAO payroll can run automatically via real-time streams and settle multiple “salary streams” in a single batch.
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