Balancer: N Dimensional Automated Market Maker

Quick Take

  • The Balancer system is composed of numerous liquidity pools, public and private, which can support up to ’n’ assets and is not constrained by a uniform numeraire 
  • Although Balancer has yet to formally launch, the concept of a generalized Automated Market Makers has excited many observers in the ecosystem
  • The ability to replace Uniswap’s base numeraire — Ether — with an asset less exposed to impermanent loss is in itself an exciting development
Late 2018 and early 2019 has largely been defined by the development and maturation of Open Finance market structure. Exchange infrastructure continues to proliferate, with users offered various architectures including continuous order books via 0x, batched auctions via DutchX, and Automated Market Makers (AMM) via Uniswap. Other developments of note include synthetic stablecoin, Dai, which […]

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