Polars: Trade Pool Update (Nov 2021)

Dual token model of the Trade Pool

Previously, the Trade Pool had 3 tokens: BUSD, WHITE and BLACK. Users could freely exchange these tokens among themselves. Liquidity providers also had to add 3 tokens to Trade at once in the same value proportion.

An arising problem or why we cannot work with the old version of Trade Pool.

In the near future, with a lot of Betting Pools, there will be an effect of cyclical constant arbitrage opportunities. Prices will constantly differ, so there will be a constant versatile benefit to equalize them. If there are 3 tokens in the Trade Pool (WHITE, BLACK and BUSD), then a third-party arbitrage user, if he has BUSD, will be able to cyclically flush BUSD from the Trade Pool. This will lead to losses of liquidity providers by at least 1/3 of the value of their assets.

Polars

The new DeFi platform for creating secure polar tokens, the price of which depends on the results of specific external events. Within the POLARS platform, users can buy, sell and exchange polar tokens, as well as participate in the distribution of the platform’s commission income.

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Polars.io

Polars.io

Polars.io — The new DeFi concept for the Prediction Market.