Empirical analysis of AMM loss versus rebalancing on layer 2 chains

Name: Empirical analysis of AMM loss versus rebalancing on layer 2 chains
Uploaded: 2024-11-14T11:46:00.881Z
Duration: 23 min 35 s
Description: Talk by Elaine Hu from Devcon 7 SEA, Nov 2024. This talk presents an empirical analysis of Loss versus Rebalancing (LVR) on Arbitrum, Base and Ethereum. It compares the realised and theoretical LVR; along with the arbitrage profits from CEX-DEX/Perpetual; then further reveals whether the frequency of delta-hedging, the pool liquidity and the block time difference lead to better or worse LVR.

Devcon 7 SEAThu, Nov 14, 2024, 11:46 AM · 23:35

Speaker

Elaine Hu

This talk presents an empirical analysis of Loss versus Rebalancing (LVR) on Arbitrum, Base and Ethereum. It compares the realised and theoretical LVR; along with the arbitrage profits from CEX-DEX/Perpetual; then further reveals whether the frequency of delta-hedging, the pool liquidity and the block time difference lead to better or worse LVR.