liTOKEN
Coverage of liTOKEN in the Nexus archive.
- Realistic or not? Bot-only arb volume as the sole driver of LP yield with a concentrated pegged pair
A developer presents a protocol for liquid-locked token derivatives and explores whether bot-only arbitrage activity can generate attractive LP yields on concentrated pegged pairs. The creator seeks validation on whether their $100k liquidity strategy ($50k concentrated in liTOKEN/TOKEN and $50k full-range in liTOKEN/WETH) can achieve 55-110% APR through bot arbitrage, and asks whether to include external routing options in their open-source bot template.
- Would DEX Aggregators Route Through These New Pairs?
A developer proposes a protocol using liquid-locked tokens (liTOKENs) to enable liquidity providers to earn yield while mitigating impermanent loss. The protocol aims to incentivize DEX aggregators to route trades through new token pairs by maintaining a price spread that benefits both traders and liquidity providers.