Multi-Asset Liquidity Pools

An evolution of NFT liquidity pools

We are pushing the boundaries of NFTfi technology and have invented a novel concept never before seen in all of crypto - the multi-asset liquidity pool.

What is a multi-asset liquidity pool?

A multi-asset liquidity pool consists of multiple NFT collections (which have distinct values themselves) paired with a given token. Based on the estimated market value of each of the underlying collections, the pool has a certain target ratio for each of the NFT collections.

How does the protocol work?

Let's use one of our existing multi-asset liquidity pools as an example.

We have a multi-asset liquidity pool with the following NFT collections paired with $CSWAP token:

Toolheads - Target : 36% Tappy - Target: 28% Clay Nation - Target: 20% SpaceBudz - Target: 10% The Ape Society - Target: 5%

Unlike a conventional NFT liquidity pool, where a user gets to choose what they get, the user uses a certain amount of $CSWAP to play the pool ("roll the dice") and win a random NFT out of the pool. This gives $CSWAP a strong initial utility as it can literally be used to win NFTs out of the multi-asset liquidity pools, which themselves have ADA value associated with them.

Similarly, users can use these liquidity pools to play the sell side of the game - 'dump' their NFTs for $CSWAP, which is roughly related to the market value of those NFTs. $CSWAP can be either used to play other pools, or used in other parts of the CSWAP ecosystem (Our goal is to allow users to stake $CSWAP for platform fee sharing on CSWAP's upcoming fungible DEX).

Creating new financial opportunities

Whenever there's a gap in price between multiple platforms, and there is natural price volatility, this inherently creates trading and arbitrage opportunities for users where they can actually make effectively risk-free trades between the platforms.

Multi-asset liquidity pools offer a new venue for people to find new ways to extract value.

For example, trading and arbitrage opportunities can be created when:

  • The price of an NFT goes up on one marketplace while being stagnant on another

  • The value of $CSWAP in the pool changes

  • People buy/sell in/out of the CNFT's regular NFT pools or multi-asset liquidity pools

  • If someone wins an NFT out of the pool, and the pool happens to be short on that asset, it will offer more CSWAP for that particular collection as it has a higher desirability factor.

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