28:["$","title",null,{"children":"Bonding Curve Prototypes | Brandon Ramirez | Observable"}] 2d:T1340,class Token { constructor({ initialBalances }) { this.balances = new Map(initialBalances) this.totalSupply = this._computeTotalSupply() this.hooks = { preTransfer: [], postTransfer: [], preMint: [], postMint: [], preBurn: [], postBurn: []} } registerHooks({ preTransfer=[], postTransfer=[], preMint=[], postMint=[], preBurn=[], postBurn=[] }) { this.hooks = { preTransfer: this.hooks.preTransfer.concat(preTransfer), postTransfer: this.hooks.postTransfer.concat(postTransfer), preMint:this.hooks.preMint.concat(preMint), postMint: this.hooks.postMint.concat(postMint), preBurn: this.hooks.preBurn.concat(preBurn), postBurn: this.hooks.postBurn.concat(postBurn), } } _computeTotalSupply() { return Array.from(this.balances.values()).reduce((acc, value) => acc + value, 0) } _preTransfer(context) { this.hooks.preTransfer.forEach(hook => hook(context)) return context } _validateTransfer({ amount, senderInitialBalance, ...rest }) { if (senderInitialBalance < amount) { if ((amount-senderInitialBalance) < 0.000001 ) { // This addresses some Javascript math imprecision console.info("Token_transfer: Rounding down amount to address precision issues") console.dir({ amount, senderInitialBalance, ...rest }) amount = senderInitialBalance } else { console.warn("Token_transfer: Sender has insufficient funds: ") console.dir({ amount, senderInitialBalance, ...rest }) return } } return { ...rest, senderInitialBalance, amount} } _executeTransfer(context) { const {from, to, senderInitialBalance, receiverInitialBalance, amount} = context this.balances.set(from, senderInitialBalance - amount) this.balances.set(to, receiverInitialBalance + amount) return context } _postTransfer(context) { this.hooks.postTransfer.forEach(hook => hook(context)) return context } transfer (from, to, amount) { const senderInitialBalance = this.balanceOf(from) const receiverInitialBalance = this.balanceOf(to) let ctx = this._preTransfer({ from, to, amount, senderInitialBalance, receiverInitialBalance }) ctx = this._validateTransfer(ctx) ctx = this._executeTransfer(ctx) ctx = this._postTransfer(ctx) // if (senderInitialBalance < amount) { // if ((amount-senderInitialBalance) < 0.000001 ) { // This addresses some Javascript math imprecision // console.info("Token_transfer: Rounding down amount to address precision issues") // console.dir({ from, to, amount, senderInitialBalance, receiverInitialBalance }) // amount = senderInitialBalance // } else { // console.warn("Token_transfer: Sender has insufficient funds: ") // console.dir({ from, to, amount, senderInitialBalance, receiverInitialBalance }) // return // } // } // this.balances.set(from, senderInitialBalance - amount) // this.balances.set(to, receiverInitialBalance + amount) } _preMint(context) { this.hooks.preMint.forEach(hook => hook(context)) return context } _executeMint(context) { const { to, amount, receiverInitialBalance } = context this.balances.set(to, receiverInitialBalance + amount) this.totalSupply += amount return context } _postMint(context) { this.hooks.postMint.forEach(hook => hook(context)) return context } mint (to, amount, options) { const receiverInitialBalance = this.balanceOf(to) let ctx = this._preMint({ to, amount, receiverInitialBalance, ...options }) ctx = this._executeMint(ctx) return this._postMint(ctx) // this.balances.set(to, receiverInitialBalance + amount) // this.totalSupply += amount } _preBurn (context) { this.hooks.preBurn.forEach(hook => hook(context)) return context } _validateBurn(context) { const { senderInitialBalance, amount } = context if (senderInitialBalance < amount) { throw("Token_burn: Sender has insufficient funds") } return context } _executeBurn(context) { const { amount, from, senderInitialBalance } = context this.balances.set(from, senderInitialBalance - amount) this.totalSupply -= amount return context } _postBurn(context) { this.hooks.postBurn.forEach(hook => hook(context)) return context } burn (from, amount) { const senderInitialBalance = this.balanceOf(from) let ctx = this._preBurn({ from, amount, senderInitialBalance }) ctx = this._validateBurn(ctx) ctx = this._executeBurn(ctx) return this._postBurn(ctx) // if (senderInitialBalance < amount) { // throw("Token_burn: Sender has insufficient funds") // } // this.balances.set(from, senderInitialBalance - amount) // this.totalSupply -= amount } balanceOf(account) { return this.balances.get(account) || 0 } }2e:T1380,class BancorCurve { constructor ({ chain, reserveRatio, reserveToken, shareToken, address, initialShareBalances=[], shareTokenConfig, TokenClass=Token }) { this.displayName = "BancorCurve" this.chain = chain this.reserveRatio = reserveRatio this.reserveToken = reserveToken this.shareToken = shareToken || new TokenClass({ initialBalances: initialShareBalances, ...shareTokenConfig }) this.address = address this.createdAt = chain.blockHeight } get reserves () { return this.reserveToken.balanceOf(this.address) } get shares () { return this.shareToken.totalSupply } get price () { return this.shares ? (this.reserves / this.reserveRatio) / this.shares : 0 } get pricePerHundredth () { return (this.price * this.shares) / 100 } balanceOf (account) { return this.shareToken.balanceOf(account) } addReserves(account, amount) { this.reserveToken.transfer(account, this.address, amount) } removeReserves(account, amount) { if (amount > this.reserves) { throw(`${this.displayName}_removeReserves: Cannot remove more reserves than are available in curve.`) } this.reserveToken.transfer(amount, account) } /** Mint function and helpers. Subclasses may extend bonding curve by overriding helpers. Stateful actions should saved for the `_executeMint` or `_postMint` helpers. Helpers will be called in the following order: 1.) _validateMint 2.) _preMint 3.) _calculateMint 4.) _executeMint 5.) _postMint **/ _validateMint({ account, reservesToDeposit, ...rest }) { if (this.reserveToken.balanceOf(account) < reservesToDeposit) { throw(`${this.displayName}__validateMint: Minter cannot deposit more reserves than they own.`) } return { ...rest, account, reservesToDeposit, } } _preMint(context) { return context } _calculateMint({ account, reservesToDeposit, reserveRatio, currentShares, currentReserves, ...rest }) { var sharesToMint if (currentShares == 0 || currentReserves == 0) { // If bonding curve is uninitialized, use power function sharesToMint = ((1/reserveRatio)*reservesToDeposit)**reserveRatio } else { sharesToMint = currentShares * ((1+(reservesToDeposit/currentReserves))**(reserveRatio)-1) } const userInitialShares = this.balanceOf(account) const userFinalShares = userInitialShares + sharesToMint return { ...rest, account, reservesToDeposit, sharesToMint, userFinalShares, } } _executeMint({ account, reservesToDeposit, sharesToMint, userFinalShares, ...rest }) { this.reserveToken.transfer(account, this.address, reservesToDeposit) this.shareToken.mint(account, sharesToMint) return { ...rest, account, reservesToDeposit, sharesToMint, userFinalShares, } } _postMint(context) { return context } mint(account, reservesToDeposit) { let ctx = { account, reservesToDeposit, reserveRatio: this.reserveRatio, currentReserves: this.reserves, currentShares: this.shares } this._validateMint(ctx) ctx = this._preMint(ctx) ctx = this._calculateMint(ctx) ctx = this._executeMint(ctx) return this._postMint(ctx) } /** Burn function and helpers. Subclasses may extend bonding curve by overriding helpers. Stateful actions should saved for the `_executeBurn` or `_postBurn` helpers. Helpers will be called in the following order: 1.) _validateBurn 2.) _preBurn 3.) _calculateBurn 4.) _executeBurn 5.) _postBurn **/ _validateBurn({ account, sharesToBurn }) { if (sharesToBurn > this.balanceOf(account)) { throw(`${this.displayName}_burn: User may not withdraw more shares than they own. <${account}> attempted to burn ${sharesToBurn} shares, but they only have ${this.balanceOf(account)}`) } } _preBurn(context) { return context } _calculateBurn({ account, sharesToBurn, reserveRatio, ...rest }) { const userInitialShares = this.balanceOf(account) const reservesToWithdraw = this.reserves * (1 - (1 - (sharesToBurn/this.shares))**(1/reserveRatio)) const userFinalShares = userInitialShares - sharesToBurn return { ...rest, account, sharesToBurn, reserveRatio, reservesToWithdraw, userFinalShares } } _executeBurn({ account, reservesToWithdraw, userFinalShares, sharesToBurn, ...rest }) { this.reserveToken.transfer(this.address, account, reservesToWithdraw) this.shareToken.burn(account, sharesToBurn) return { ...rest, account, reservesToWithdraw, userFinalShares, sharesToBurn } } _postBurn(context) { return context } burn(account, sharesToBurn) { let ctx = { account, sharesToBurn, reserveRatio: this.reserveRatio } this._validateBurn(ctx) ctx = this._preBurn(ctx) ctx = this._calculateBurn(ctx) ctx = this._executeBurn(ctx) return this._postBurn(ctx) } }2f:T404,class NestedCurve { constructor({ address, chain, outerCurve, innerCurve, reserveToken }) { this.chain = chain this.address = address this.innerCurve = innerCurve this.outerCurve = outerCurve this.reserveToken = reserveToken } balanceOf(account) { return this.outerCurve.balanceOf(account) } mint(account, reservesToDeposit) { const innerSharesMinted = this.innerCurve.mint(account, reservesToDeposit)['sharesToMint'] const outerSharesMinted = this.outerCurve.mint(account, innerSharesMinted) } burn(account, sharesToBurn) { const outerReservesWithdrawn = this.outerCurve.burn(account, sharesToBurn)['reservesToWithdraw'] this.innerCurve.burn(account, outerReservesWithdrawn) } swapInner(curve) { this.innerCurve.burn(this.outerCurve.address, this.outerCurve.reserves) this.innerCurve = curve this.outerCurve.reserveToken = this.innerCurve.shareToken this.innerCurve.mint(this.outerCurve.address, this.reserveToken.balanceOf(this.outerCurve.address)) } }30:T563,class PrincipleProtectedNestedCurve { constructor({ address, chain, OuterCurveClass, outerCurveConfig, InnerCurveClass, innerCurveConfig={}, reserveToken }) { const OuterCurve = OuterCurveClass || withCostBasisReserves(BancorCurve) const InnerCurve = InnerCurveClass || withPrincipalProtection(withProportionalPayouts(BancorCurve)) this.chain = chain this.address = address this.innerCurve = new InnerCurve(innerCurveConfig) this.outerCurve = new OuterCurve({ reserveToken: this.innerCurve.shareToken, ...outerCurveConfig }) this.reserveToken = reserveToken } balanceOf(account) { return this.outerCurve.balanceOf(account) } mint(account, reservesToDeposit) { const innerSharesMinted = this.innerCurve.mint(account, reservesToDeposit)['sharesToMint'] const outerSharesMinted = this.outerCurve.mint(account, innerSharesMinted) } burn(account, sharesToBurn) { const outerReservesWithdrawn = this.outerCurve.burn(account, sharesToBurn)['reservesToWithdraw'] this.innerCurve.burn(account, outerReservesWithdrawn) } swapInner(curve) { this.innerCurve.burn(this.outerCurve.address, this.outerCurve.reserves) this.innerCurve = curve this.outerCurve.reserveToken = this.innerCurve.shareToken this.innerCurve.mint(this.outerCurve.address, this.reserveToken.balanceOf(this.outerCurve.address)) } }31:T5a0,withCostBasis = Token => class extends Token { constructor({ initialCostBases=[], ...rest }) { super({ ...rest }) this.costBases = new Map(initialCostBases) } costBasisOf(account) { return this.costBases.get(account) || 0 } _postTransfer(context) { const { amount, from, to, receiverInitialBalance } = context const receiverPrevCostBasis = this.costBasisOf(to) const senderCostBasis = this.costBasisOf(from) const receiverNewCostBasis = this._computeAvgCostBasis({ prevCostBasis: receiverPrevCostBasis, prevBalance: receiverInitialBalance, amount, costBasis: senderCostBasis, }) this.costBases.set(to, receiverNewCostBasis) return super._postTransfer(context) } _postMint(context) { const { to, amount, cost, receiverInitialBalance } = context const receiverInitialCostBasis = this.costBasisOf(to) const costBasis = cost/amount const newCostBasis = this._computeAvgCostBasis({ prevBalance: receiverInitialBalance, prevCostBasis: receiverInitialCostBasis, amount, costBasis }) this.costBases.set(to, newCostBasis) return super._postMint({ ...context, receiverInitialCostBasis, receiverNewCostBasis: newCostBasis }) } _computeAvgCostBasis({ prevCostBasis, prevBalance, costBasis, amount }) { return ((prevBalance * prevCostBasis) + (costBasis * amount))/(amount + prevBalance) } }32:T633,withInitializationPhase = BondingCurve => class extends BondingCurve { /** * @constructor * @param {number} initializationDuration - The duraiton of the bonding curve initialization phase, measured * in blocks. */ constructor({ initializationDuration, initializationExitDuration, ...rest }) { super({ ...rest }) this.initializationDuration = initializationDuration this.initializationExitDuration = initializationExitDuration } get effectiveReserveRatio() { const blockHeight = this.chain.blockHeight const createdAt = this.createdAt const initializationDuration = this.initializationDuration const initializationExitDuration = this.initializationExitDuration // Steady state reserve ratio var effectiveReserveRatio = this.reserveRatio // Initialization phase reserve ratio if (blockHeight <= (createdAt + initializationDuration)) { effectiveReserveRatio = 1 // Initialization exit phase reserve ratio } else if ( blockHeight <= (createdAt + initializationDuration + initializationExitDuration)) { let percentExited = (blockHeight - (createdAt + initializationDuration))/(initializationExitDuration) effectiveReserveRatio = 1 - ((1 - this.reserveRatio)*percentExited) } return effectiveReserveRatio } _calculateMint(context) { return super._calculateMint({ ...context, reserveRatio: this.effectiveReserveRatio }) } _calculateBurn(context) { return super._calculateBurn({ ...context, reserveRatio: this.effectiveReserveRatio }) } }33:T90e,withDecayingCapitalGainsTax = BondingCurve => class extends BondingCurve { constructor({ decayDuration, ...rest }) { super({ ...rest }) this.decayDuration = decayDuration this.costBases = new Map() this.timeBases = new Map() } costBasisOf(account) { return this.costBases.get(account) || 0 } timeBasisOf(account) { return this.timeBases.get(account) || 0 } _preMint({ sharesToMint, reservesToDeposit, account, ...rest }) { const prevShares = this.balanceOf(account) const prevCostBasis = this.costBasisOf(account) const prevTimeBasis = this.timeBasisOf(account) return { ...rest, sharesToMint, reservesToDeposit, account, prevShares, prevCostBasis, prevTimeBasis, } } _postMint({ account, prevShares, prevCostBasis, prevTimeBasis, sharesToMint, reservesToDeposit, ...rest }) { const orderCostBasis = reservesToDeposit/sharesToMint const orderTimeBasis = this.chain.blockHeight const avgCostBasis = ((orderCostBasis*sharesToMint)+(prevShares*prevCostBasis))/(prevShares+sharesToMint) const avgTimeBasis = ((orderTimeBasis*sharesToMint)+(prevShares*prevTimeBasis))/(prevShares+sharesToMint) this.costBases.set(account, avgCostBasis) this.timeBases.set(account, avgTimeBasis) return { ...rest, account, sharesToMint, reservesToDeposit, } } _calculateBurn(context) { const { account, reservesToWithdraw, sharesToBurn } = super._calculateBurn(context) const prevCostBasis = this.costBasisOf(account) const orderProfit = reservesToWithdraw - (prevCostBasis*sharesToBurn) const holdingTime = this.chain.blockHeight - this.timeBasisOf(account) const taxRate = holdingTime > this.decayDuration ? 0 : ((this.decayDuration - holdingTime)/this.decayDuration) const adjustedReservesToWithdraw = (1-taxRate)*orderProfit+(prevCostBasis*sharesToBurn) return { ...context, account, reservesToWithdraw: adjustedReservesToWithdraw, sharesToBurn, } } _postBurn({ account, ...rest }) { if (this.balanceOf(account)==0) { this.costBases.delete(account) this.timeBases.delete(account) } return { ...rest, account, } } }34:T472,withPrincipalProtection = BondingCurve => class extends BondingCurve { constructor ({ TokenClass, initialCostBases, initialShareBalances, address, ...rest }) { const CostBasisToken = withCostBasis(TokenClass || Token) super({ address, TokenClass: CostBasisToken, shareTokenConfig: { initialShareBalances, initialCostBases, }, ...rest }) } _executeMint({ account, reservesToDeposit, sharesToMint, userFinalShares, ...rest }) { this.reserveToken.transfer(account, this.address, reservesToDeposit) this.shareToken.mint(account, sharesToMint, { cost: reservesToDeposit }) return { ...rest, account, reservesToDeposit, sharesToMint, userFinalShares, } } _calculateBurn({ account, sharesToBurn, ...rest }) { const userInitialShares = this.balanceOf(account) const userInitialCostBasis = this.shareToken.costBasisOf(account) const reservesToWithdraw = sharesToBurn * userInitialCostBasis const userFinalShares = userInitialShares - sharesToBurn return { ...rest, account, sharesToBurn, reservesToWithdraw, userFinalShares } } }35:T9ce,withProportionalPayouts = BondingCurve => class extends BondingCurve { constructor ({ address, ...rest }) { super({ address, ...rest }) this.accPayoutsPerShare = 0 this.payoutsAddress = `${address}__payouts` this.startingPayoutsPerShare = new Map() this.shareToken.registerHooks({ preMint: [this._token_preMint.bind(this)], postMint: [this._token_postMint.bind(this)], preTransfer: [this._token_preTransfer.bind(this)], preBurn: [this._token_preBurn.bind(this)], }) } addReserves(account, amount) { this.reserveToken.transfer(account, this.payoutsAddress, amount) this.accPayoutsPerShare += (amount / this.shares) } startingPayoutsPerShareOf(account) { const userStartingPayoutsPerShare = this.startingPayoutsPerShare.get(account) // Important not to return zero here as the default or could entitle user to lots of rewards! return userStartingPayoutsPerShare === undefined ? this.accPayoutsPerShare : userStartingPayoutsPerShare } claimPayouts(account) { const userShares = this.balanceOf(account) const userStartingPayoutsPerShare = this.startingPayoutsPerShareOf(account) if (userShares === 0 || userStartingPayoutsPerShare === this.accPayoutsPerShare) { console.warn("withProportionalPayouts(BondingCurve)__claimPayouts: User is not entitled to any payouts:") console.dir({ account, userShares, userStartingPayoutsPerShare, accPayoutsPerShare: this.accPayoutsPerShare }) return } const payout = (this.accPayoutsPerShare - userStartingPayoutsPerShare) * userShares this.reserveToken.transfer(this.payoutsAddress, account, payout) this.startingPayoutsPerShare.set(account, this.accPayoutsPerShare) } _token_preTransfer({ from, to }) { if (this.startingPayoutsPerShareOf(from) !== this.accPayoutsPerShare) { this.claimPayouts(from) } if ( this.shareToken.balanceOf(to) > 0 && this.startingPayoutsPerShareOf(to) !== this.accPayoutsPerShare ) { this.claimPayouts(to) } } _token_preMint({ to }) { if ( this.shareToken.balanceOf(to) > 0 && this.startingPayoutsPerShareOf(to) !== this.accPayoutsPerShare ) { this.claimPayouts(to) } } _token_postMint({ to }) { this.startingPayoutsPerShare.set(to, this.accPayoutsPerShare) } _token_preBurn({ from }) { if ( this.startingPayoutsPerShareOf(from) !== this.accPayoutsPerShare) { this.claimPayouts(from) } } }36:T9eb,function simulate({ actions, curve, reserveToken, chain }, log=[]) { log.push({ reserves: curve.reserves, shares: curve.shares, shareBalances: Object.fromEntries(curve.shareToken.balances.entries()), reserveTokenBalances: Object.fromEntries(reserveToken.balances.entries()) }) actions.forEach(action => { const prevState = log[log.length-1] || {} const prevCostBases = prevState.costBases || {} const prevShareBalances = prevState.shareBalances || {} const prevRealizedProfits = prevState.realizedProfits || {} var newCostBases = {...prevCostBases} var newRealizedProfits = {...prevRealizedProfits} if (action.type === "MINT") { let account = action.args[0] let prevShares = prevShareBalances[account] || 0 let prevCostBasis = prevCostBases[account] || 0 let depositAmount = action.args[1] let sharesMinted = curve.mint(account, depositAmount)["sharesToMint"] let orderCostBasis = depositAmount/sharesMinted let averageCostBasis = ((orderCostBasis*sharesMinted)+(prevShares*prevCostBasis))/(prevShares+sharesMinted) newCostBases = {...prevCostBases, [account]: averageCostBasis} } else if (action.type === "BURN") { let account = action.args[0] let prevShares = prevShareBalances[account] || 0 let prevCostBasis = prevCostBases[account] || 0 let prevRealizedProfit = prevRealizedProfits[account] || 0 // TODO: Allow for use of percentages in burn simulation let sharesToBurn = action.args[1] === "MAX" ? prevShares : action.args[1] let withdrawnReserves = curve.burn(account, sharesToBurn)['reservesToWithdraw'] let orderProfit = withdrawnReserves - (sharesToBurn*prevCostBasis) newRealizedProfits = {...prevRealizedProfits, [account]: prevRealizedProfit + orderProfit} } else if (action.type === "ADD_RESERVES") { curve.addReserves(...action.args) } else if (action.type === "REMOVE_RESERVES") { curve.removeReserves(...action.args) } if (action.type === "SLEEP") { chain.sleep(action.args[0]) } else { log.push({ realizedProfits: newRealizedProfits, costBases: newCostBases, reserves: curve.reserves, shares: curve.shares, shareBalances: Object.fromEntries(curve.shareToken.balances.entries()), reserveTokenBalances: Object.fromEntries(reserveToken.balances.entries()) }) chain.step() } }) return log }37:T411,scenario_B_2_1_results = { const { actions, initialReserveTokenBalances, initialInnerShareTokenBalances, initialOuterShareTokenBalances } = scenario_B_2_2_config const chain = new Chain({}) const reserveToken = new Token(initialReserveTokenBalances) const innerCurve1 = new BancorCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'inner_curve_1', initialShareBalances: initialInnerShareTokenBalances }) const innerCurve2 = new BancorCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'inner_curve_2'}) const outerCurve = new BancorCurve({ chain, reserveRatio: 1, reserveToken: innerCurve1.shareToken, address: 'outer_curve', initialShareBalances: initialOuterShareTokenBalances }) const nestedCurve = new NestedCurve({ address: 'nested_curve', chain, reserveToken, innerCurve: innerCurve1, outerCurve }) const state = { chain, reserveToken, innerCurve1, innerCurve2, outerCurve, nestedCurve } return simulateNestedCurve({ actions, state, }) }38:T477,scenario_B_2_2_results = { const { actions, initialReserveTokenBalances, initialInnerShareTokenBalances, initialOuterShareTokenBalances } = scenario_B_2_2_config const chain = new Chain({}) const reserveToken = new Token({ initialBalances: initialReserveTokenBalances }) const shareToken = new Token({ initialBalances: initialInnerShareTokenBalances }) const innerCurve1 = new BancorCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'inner_curve_1', initialShareBalances: initialInnerShareTokenBalances }) const innerCurve2 = new BancorCurve({ chain, reserveRatio: 1, reserveToken, address: 'inner_curve_2'}) const outerCurve = new BancorCurve({ chain, reserveRatio: 1, reserveToken: innerCurve1.shareToken, address: 'outer_curve', initialShareBalances: initialOuterShareTokenBalances }) const nestedCurve = new NestedCurve({ address: 'nested_curve', chain, reserveToken, innerCurve: innerCurve1, outerCurve }) const state = { chain, reserveToken, innerCurve1, innerCurve2, outerCurve, nestedCurve } return simulateNestedCurve({ actions, state, }) }39:T49e,scenario_B_3_config = ({ initialReserveTokenBalances: [ ['0x0', 0], ['protocol', 5000], ['curator1', 1000], ['curator2', 1000], ], actions: [ { type: "MINT", target: 'nestedCurve', args: ['curator1', 1000] }, { type: "MINT", target: 'nestedCurve', args: ['curator2', 1000] }, (_, { outerShareBalances } ) => ({ type: "BURN", target: 'nestedCurve', args: ['curator2', outerShareBalances['curator2']] }), ], recordState: ({ nestedCurve, innerCurve, outerCurve, reserveToken }) => ({ outerShareBalances: Object.fromEntries(nestedCurve.outerCurve.shareToken.balances.entries()), outerCurvePrice: outerCurve.price, outerCurvePricePerHundredth: outerCurve.pricePerHundredth, outerShares: outerCurve.shares, reserveTokenBalances: Object.fromEntries(reserveToken.balances.entries()), innerCostBases: Object.fromEntries(nestedCurve.innerCurve.shareToken.costBases.entries()), innerShareTokenBalances: Object.fromEntries(nestedCurve.innerCurve.shareToken.balances.entries()), innerShares: innerCurve.shares, innerCurvePrice: innerCurve.price, innerCurvePricePerHundredth: innerCurve.pricePerHundredth, }) })3a:[] 2b:{"id":"ee23aa407cb16c01","slug":"bonding-curve-prototypes","title":"Bonding Curve Prototypes","thumbnail":"4f0cfb6ba4c0c2b0c62f8d19ae96cf5b97ce76364155bbefc765fd76b475ff99","access_level":"unlisted","create_time":"$D2021-08-17T20:25:52.934Z","update_time":"$D2022-06-16T03:12:20.711Z","view_time":null,"first_public_time":null,"has_unpublished_edits":null,"fork":false,"stars":0,"starred":false,"owner":{"type":"team","id":"14b14efa5812797b","login":"zerim","name":"Brandon Ramirez","avatar_url":"https://avatars-next.observableusercontent.com/3b076069ca46dcce35edd12b2dea946fe8b82799f6cee2135d83cf47b8c0d5c7","tier":"starter_2024"},"version":1108,"publish_version":1108,"role":null,"authored":false,"authors":[{"type":"individual","id":"72767cff4e5e28f9","login":"zerim","name":"Brandon Ramirez","avatar_url":"https://avatars-next.observableusercontent.com/3b076069ca46dcce35edd12b2dea946fe8b82799f6cee2135d83cf47b8c0d5c7","tier":null}],"members":[{"type":"individual","id":"72767cff4e5e28f9","login":"zerim","name":"Brandon Ramirez","avatar_url":"https://avatars-next.observableusercontent.com/3b076069ca46dcce35edd12b2dea946fe8b82799f6cee2135d83cf47b8c0d5c7","tier":null,"role":"editor"}],"comments":[],"custom_thumbnail":false,"trashed":false,"lapsed":null,"subscribed":null,"forks":7,"collection":null,"type":"notebook","body":{"title":"Bonding Curve Prototypes","cells":[{"id":0,"value":"md`# Bonding Curve Prototypes`","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":193,"value":"md`## Constants`","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":192,"value":"ZERO_ADDRESS = '0x0'","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":611,"value":"## Basic Classes","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":79,"value":"md`### Token Class`","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":22,"value":"$2d","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":72,"value":"md`### Bancor Curve Base Class`","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":2,"value":"$2e","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":203,"value":"md`### Chain Mock Class`","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":208,"value":"class Chain {\n constructor({ initialBlockHeight=0 }) {\n this.blockHeight = initialBlockHeight\n }\n \n sleep(blocks) {\n this.blockHeight += blocks\n }\n \n step() {\n this.blockHeight ++\n }\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":215,"value":"function createChain() {\n return new Chain({})\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":358,"value":"### Nested Curve Class\nThis Nested Bonding Curve design uses the shares of the inner curve as the reserves of the outer curve.","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":367,"value":"$2f","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":951,"value":"### Principle Protected Nested Curve\nThis Nested Bonding Curve design uses the cost basis of the inner curve's shares as the input for computing how many shares to issue on the outer curve. It takes advantage of the inner curve being \"principle-protected,\" meaning that the outer curve is always guaranteed to be able to recover the original cost basis of inner shares when burning.","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":953,"value":"$30","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":592,"value":"## Token Mixins","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":606,"value":"### Cost Basis Tracking","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":598,"value":"$31","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":85,"value":"md`## Bancor Bonding Curve Mixins`","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":100,"value":"md`### Flat Deposit Tax`","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":88,"value":"withFlatDepositTax = BondingCurve => class extends BondingCurve {\n constructor({ depositTax, ...rest }){\n super({ ...rest})\n \n this.displayName = `withFlatDepositTax(${super.name})`\n \n if (depositTax < 0 || depositTax > 1) {\n throw(`${this.displayName}_constructor: depositTax must be a number between 0 and 1.`)\n }\n this.depositTax = depositTax\n }\n \n _preMint({ reservesToDeposit, ...rest }){\n const adjustedReservesToDeposit = reservesToDeposit*(1-this.depositTax)\n const reservesToTax = reservesToDeposit-adjustedReservesToDeposit\n return super._preMint({ ...rest, reservesToDeposit: adjustedReservesToDeposit, reservesToTax })\n }\n \n _postMint({ reservesToTax, account, ...rest }){\n this.reserveToken.transfer(account, ZERO_ADDRESS, reservesToTax)\n \n return { ...rest, reservesToTax, account }\n }\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":221,"value":"md`### Initialization Phase`","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":226,"value":"$32","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":251,"value":"md`### Decaying Capital Gains Tax`","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":253,"value":"$33","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":651,"value":"### Principal-Protected","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":661,"value":"$34","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":961,"value":"### Proportional Payouts","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":737,"value":"$35","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":967,"value":"### Reserves Cost Basis\nThis is a helper mixin that is designed to allow a bonding curve to use the total cost basis of reserve tokens deposited in order to compute how many shares should be issued on mint, rather than simply using the number of reserve tokens deposited.\n\nAssumes that the reserve token is the share token of another, principle-protected, bonding curve (which is to say a `BancorCurve` that is using the `withPrincipleProtection` mixin). Intended for use in Nested Principle Protected Bonding Curve class.","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":976,"value":"withCostBasisReserves = BondingCurve => class extends BondingCurve {\n get price() {\n const effectiveReserves = this.reserveToken.costBasisOf(this.address) *\n this.reserveToken.balanceOf(this.address)\n return this.shares ? (effectiveReserves / this.reserveRatio) / this.shares : 0\n }\n \n _calculateMint({ account, reservesToDeposit, ...rest }) {\n // We use the cost basis of the reserves being deposited, rather than the reserves themselves.\n const effectiveReservesToDeposit = this.reserveToken.costBasisOf(account) * reservesToDeposit\n const currentEffectiveReserves =\n this.reserveToken.costBasisOf(this.address) * this.reserveToken.balanceOf(this.address)\n \n let { userFinalShares, sharesToMint} = super._calculateMint({\n ...rest,\n account, \n reservesToDeposit: effectiveReservesToDeposit, \n currentReserves: currentEffectiveReserves,\n })\n \n return { ...rest, account, reservesToDeposit, userFinalShares, sharesToMint }\n }\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":989,"value":"## Nested Bonding Curve Mixins","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":992,"value":"### Principle Protected Inner Curve","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":997,"value":"withPrincipleProtectedInnerCurve = NestedCurve => class extends NestedCurve {\n /**\n * @constructor\n * @param {withPrincipleProtection(BancorCurve)} innerCurve - A principle-protected bonding curve to be used\n` * as the inner curve of the nested bonding curve.\n */\n constructor({ address, chain, OuterCurveClass, outerCurveConfig, innerCurve, reserveToken }) {\n \n const OuterCurve = OuterCurveClass || withCostBasisReserves(BancorCurve)\n const outerCurve = new OuterCurve(outerCurveConfig)\n\n super({ innerCurve, outerCurve, chain, address, reserveToken })\n }\n}","pinned":true,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":441,"value":"# Simulator","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":784,"value":"## Simulate2\nA simulator function that accepts arbitrary actions, state, reducers & state logging.","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":782,"value":"function simulate2 ({ actions=[], reducers=[], state={}, recordState=(state)=>state }) {\n const log = []\n log.push({\n action: { type: 'INITIAL_STATE' },\n state: recordState(state),\n })\n \n for (const action of actions) {\n for (const reduce of reducers) {\n reduce(state, action)\n }\n \n log.push({\n action,\n state: recordState(state),\n })\n }\n\n return log\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":795,"value":"### Simulate3\nA simulator function that accepts arbitrary actions, state, & state logging. Dispatches method calls to state objects based on `action.target` and `action.type`, which is it converts to camelCase before dispatch. Action can be a function of previous state.","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":443,"value":"function simulate3 ({ actions=[], state={}, recordState=(state)=>state }) {\n const log = []\n log.push({\n action: { type: 'INITIAL_STATE' },\n state: recordState(state),\n })\n \n for (let action of actions) {\n try {\n if (typeof action === 'function') {\n action = action(state, log.slice(-1)[0].state)\n }\n \n const method = _.camelCase(action.type)\n state[action.target][method](...action.args)\n \n log.push({\n action,\n state: recordState(state),\n })\n } catch (error) {\n console.error(error)\n log.push({\n action,\n state: recordState(state),\n })\n }\n }\n\n return log\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":123,"value":"md`# A. Basic Bonding Curve Scenarios`","pinned":true,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":82,"value":"md`## Simple Simulator`","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":15,"value":"$36","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":124,"value":"md`## Scenario 1: Sandwich Attack`","pinned":true,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":129,"value":"md`### Scenario Setup`","pinned":true,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":133,"value":"scenario_1_config = ({\n initialReserveTokenBalances: [\n ['0x0', 0],\n ['bonding_curve', 0],\n ['attacker', 10000],\n ['curator', 1000],\n ],\n actions: [\n { type: \"MINT\", args: ['attacker', 10000] },\n { type: \"MINT\", args: ['curator', 1000] },\n { type: \"BURN\", args: ['attacker', \"MAX\"] }, \n ],\n})","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":141,"value":"md`### Experiment 1.1: Sandwich Attack w/ Base Bonding Curve`","pinned":true,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":28,"value":"experiment_1_1_results = {\n const { actions, initialReserveTokenBalances } = scenario_1_config\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n const curve = new BancorCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'bonding_curve'})\n \n const config = {\n actions,\n chain,\n curve,\n reserveToken\n }\n \n return simulate(config)\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":147,"value":"md`### Experiment 1.2: Sandwich Attack w/ Flat Deposit Tax`","pinned":true,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":164,"value":"experiment_1_2_results = {\n const { actions, initialReserveTokenBalances } = scenario_1_config\n \n const ExtendedCurve = withFlatDepositTax(BancorCurve)\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n const curve = new ExtendedCurve({ chain, depositTax: 0.025, reserveRatio: (1/2), reserveToken, address: 'bonding_curve'})\n \n const config = {\n actions,\n chain,\n curve,\n reserveToken\n }\n \n return simulate(config)\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":316,"value":"md`### Experiment 1.3: Sandwich Attack w/ Decaying Capital Gains Tax`","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":321,"value":"experiment_1_3_results = {\n const { actions, initialReserveTokenBalances } = scenario_1_config\n \n const ExtendedCurve = withDecayingCapitalGainsTax(BancorCurve)\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n const curve = new ExtendedCurve({ \n chain,\n decayDuration: 179200,\n reserveRatio: (1/2), \n reserveToken, \n address: 'bonding_curve'\n })\n \n const config = {\n actions,\n chain,\n curve,\n reserveToken\n }\n \n return simulate(config)\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":679,"value":"### Experiment 1.4: Sandwich Attack w/ Principal Protection","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":689,"value":"experiment_1_4_results = {\n const { actions, initialReserveTokenBalances } = scenario_1_config\n \n const ExtendedCurve = withPrincipalProtection(BancorCurve)\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n const curve = new ExtendedCurve({ \n chain,\n reserveRatio: (1/2), \n reserveToken, \n address: 'bonding_curve'\n })\n \n const config = {\n actions,\n chain,\n curve,\n reserveToken\n }\n \n return simulate(config)\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":255,"value":"md `## Scenario 2: Apeing in`","pinned":true,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":259,"value":"md`### Scenario Setup`","pinned":true,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":263,"value":"scenario_2_config = ({\n initialReserveTokenBalances: [\n ['0x0', 0],\n ['bonding_curve', 0],\n ['attacker', 50000],\n ['curator_1', 10000],\n ['curator_2', 10000],\n ['curator_3', 10000],\n ['curator_4', 10000],\n ],\n actions: [\n { type: \"MINT\", args: ['attacker', 50000]},\n { type: \"MINT\", args: ['curator_1', 10000] },\n { type: \"MINT\", args: ['curator_2', 10000] },\n { type: \"MINT\", args: ['curator_3', 10000]},\n { type: \"MINT\", args: ['curator_4', 10000]},\n { type: \"SLEEP\", args:[6400] },\n { type: \"BURN\", args: ['attacker', \"MAX\"] },\n ],\n})","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":269,"value":"md`### Experiment 2.1: Apeing in w/ Initialization Phase Bonding Curve`","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":273,"value":"experiment_2_1_results = {\n const { actions, initialReserveTokenBalances } = scenario_2_config\n \n const ExtendedCurve = withInitializationPhase(BancorCurve)\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n const curve = new ExtendedCurve({ \n chain, \n initializationDuration: 6400, // About 24 hrs assuming Ethereum mainnet block times of ~13.5s\n initializationExitDuration: 44800, // About 7 days\n reserveRatio: (1/2), \n reserveToken, \n address: 'bonding_curve'\n })\n \n const config = {\n actions,\n chain,\n curve,\n reserveToken\n }\n \n return simulate(config)\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":740,"value":"## Scenario 3: Bonding Curve Payouts","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":766,"value":"scenario_A_3_config = ({\n initialReserveTokenBalances: [\n ['0x0', 0],\n ['protocol', 5000],\n ['curator1', 1000],\n ['curator2', 1000],\n ],\n actions: [\n { type: \"MINT\", target: 'curve', args: ['curator1', 1000] },\n { type: \"MINT\", target: 'curve', args: ['curator2', 1000] },\n { type: \"ADD_RESERVES\", target: 'curve', args: ['protocol', 1000] },\n (_, { shareBalances } ) => \n ({ type: \"BURN\", target: 'curve', args: ['curator2', shareBalances['curator2']] }),\n (_, { shareBalances }) => \n ({ type: \"BURN\", target: 'curve', args: ['curator1', shareBalances['curator1']] }),\n ],\n recordState: ({ curve, reserveToken }) => ({\n reserves: curve.reserves,\n shares: curve.shares,\n shareBalances: Object.fromEntries(curve.shareToken.balances.entries()),\n reserveTokenBalances: Object.fromEntries(reserveToken.balances.entries()),\n })\n})","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":750,"value":"### Experiment A.3.1: Deposit into Bancor Reserves","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":746,"value":"scenario_A_3_1_results = {\n const { actions, initialReserveTokenBalances, recordState } = scenario_A_3_config\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n const curve = new BancorCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'bonding_curve'})\n \n const state = {\n chain,\n reserveToken,\n curve,\n }\n\n return simulate3({\n actions,\n state,\n recordState,\n })\n}","pinned":true,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":753,"value":"### Experiment A.3.2: Proportional Payouts from Excess Reserves","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":756,"value":"scenario_A_3_2_results = {\n const { actions, initialReserveTokenBalances, recordState } = scenario_A_3_config\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n\n const ExtendedCurve = withProportionalPayouts(BancorCurve)\n const curve = new ExtendedCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'bonding_curve'})\n \n const state = {\n chain,\n reserveToken,\n curve,\n }\n\n return simulate3({\n actions,\n state,\n recordState,\n })\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":867,"value":"### Experiment A.3.3: Principle Protected Curve","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":874,"value":"scenario_A_3_3_results = {\n const { actions, initialReserveTokenBalances, recordState } = scenario_A_3_config\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n\n const ExtendedCurve = withPrincipalProtection(withProportionalPayouts(BancorCurve))\n const curve = new ExtendedCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'bonding_curve'})\n \n const state = {\n chain,\n reserveToken,\n curve,\n }\n\n return simulate3({\n actions,\n state,\n recordState: (state) => \n ({ ...recordState(state), costBases: Array.from(state.curve.shareToken.costBases.entries())}),\n })\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":382,"value":"# B. Nested Bonding Curve Scenarios","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":387,"value":"1. Initialize inner curve of nested curve\n2. Several Curators mint on nested curve\n3. Upgrade nested curve from previous inner curve to new inner curve.\n4. Several Curators burn on the nested curve\n\nAnalyze profits depending on timing and the shape of the old vs. new inner curve.","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":494,"value":"## Nested Bonding Curve Simulator","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":519,"value":"nestedCurveReducers = {\n const reduceMint = (state, action) => {\n if (action.type === \"MINT\") {\n const curve = state[action.target]\n const account = action.args[0]\n if (action.args[1]===\"MAX\") {\n curve.mint(account, curve.reserveToken.balanceOf(account))\n } else {\n curve.mint(...action.args)\n }\n }\n }\n \n // action.type === \"MINT\" && state[action.target]['mint'](...action.args) \n const reduceBurn = (state, action) => {\n if (action.type === \"BURN\") {\n const curve = state[action.target]\n const account = action.args[0]\n if (action.args[1]===\"MAX\") {\n curve.burn(account, curve.balanceOf(account))\n } else {\n curve.burn(...action.args)\n }\n }\n }\n const reduceSwap = (state, action) => action.type === \"SWAP\" && state[action.target]['swapInner'](state[action.args[0]])\n const reducers = [reduceMint, reduceBurn, reduceSwap]\n return reducers\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":467,"value":"function simulateNestedCurve ({ actions, state }) {\n\n const recordState = ({ nestedCurve, reserveToken }) => ({\n outerReserves: nestedCurve.outerCurve.reserves,\n outerShares: nestedCurve.outerCurve.shares,\n outerShareBalances: Object.fromEntries(nestedCurve.outerCurve.shareToken.balances.entries()),\n innerShareBalances: Object.fromEntries(nestedCurve.innerCurve.shareToken.balances.entries()),\n reserveTokenBalances: Object.fromEntries(reserveToken.balances.entries()),\n })\n\n return simulate2({\n actions,\n state,\n reducers: nestedCurveReducers,\n recordState,\n })\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":396,"value":"## Scenario B.1: Inner Curve Upgrade","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":528,"value":"### Experiment B.1.1: Basic Inner Curve Upgrade","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":405,"value":"scenario_B_1_config = ({\n initialReserveTokenBalances: [\n ['0x0', 0],\n ['bonding_curve', 0],\n ['curator_1', 10000],\n ['curator_2', 10000],\n\n ],\n actions: [\n { type: \"MINT\", target: \"nestedCurve\", args: ['curator_1', 10000] },\n { type: \"MINT\", target: \"nestedCurve\", args: ['curator_2', 10000] },\n { type: \"SWAP\", target: \"nestedCurve\", args: ['innerCurve2'] },\n { type: \"BURN\", target: \"nestedCurve\", args: ['curator_1', \"MAX\"] },\n { type: \"BURN\", target: \"nestedCurve\", args: ['curator_2', \"MAX\"] },\n ],\n})","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":475,"value":"scenario_B_1_results = {\n const { actions, initialReserveTokenBalances } = scenario_B_1_config\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n const innerCurve1 = new BancorCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'inner_curve_1'})\n const innerCurve2 = new BancorCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'inner_curve_2'})\n const outerCurve = new BancorCurve({ chain, reserveRatio: 1, reserveToken: innerCurve1.shareToken, address: 'outer_curve'})\n const nestedCurve = new NestedCurve({ address: 'nested_curve', chain, reserveToken, outerReserveRatio: 1, innerCurve: innerCurve1, outerCurve })\n\n const state = {\n chain,\n reserveToken,\n innerCurve1,\n innerCurve2,\n outerCurve,\n nestedCurve\n }\n\n return simulateNestedCurve({\n actions,\n state,\n })\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":537,"value":"### Experiment B.1.2: Control Experiment Using Regular Curve","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":512,"value":"scenario_B_1_control_config = ({\n initialReserveTokenBalances: [\n ['0x0', 0],\n ['bonding_curve', 0],\n ['curator_1', 10000],\n ['curator_2', 10000],\n\n ],\n actions: [\n { type: \"MINT\", target: \"bondingCurve\", args: ['curator_1', 10000] },\n { type: \"MINT\", target: \"bondingCurve\", args: ['curator_2', 10000] },\n { type: \"BURN\", target: \"bondingCurve\", args: ['curator_1', \"MAX\"] },\n { type: \"BURN\", target: \"bondingCurve\", args: ['curator_2', \"MAX\"] },\n ],\n})","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":516,"value":"scenario_B_1_control_results = {\n const { actions, initialReserveTokenBalances } = scenario_B_1_control_config\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n const bondingCurve = new BancorCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'bondingCurve'})\n\n const state = {\n chain,\n reserveToken,\n bondingCurve,\n }\n\n return simulate2({\n actions,\n state,\n reducers: nestedCurveReducers,\n recordState: ({ reserveToken, bondingCurve }) => ({\n reserves: bondingCurve.reserves,\n shares: bondingCurve.shares,\n shareBalances: Object.fromEntries(bondingCurve.shareToken.balances.entries()),\n reserveTokenBalances: Object.fromEntries(reserveToken.balances.entries()),\n })\n })\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":542,"value":"## Scenario B.2 Front-Running Inner Curve Upgrade","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":544,"value":"### Experiment B.2.1: Front-Running Basic Curve Upgrade","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":581,"value":"scenario_B_2_1_config = ({\n initialReserveTokenBalances: [\n ['0x0', 0],\n ['inner_curve_1', 20000],\n ],\n initialOuterShareTokenBalances: [\n ['curator_1', 100],\n ['curator_2', 100],\n ],\n initialInnerShareTokenBalances: [\n ['outer_curve', 200],\n ],\n actions: [\n { type: \"BURN\", target: \"nestedCurve\", args: ['curator_1', 100] },\n { type: \"SWAP\", target: \"nestedCurve\", args: ['innerCurve2'] },\n { type: \"MINT\", target: \"nestedCurve\", args: ['curator_1', \"MAX\"] },\n ],\n})","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":586,"value":"$37","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":548,"value":"### Experiment B.2.2: Front-Running Curve Upgrade w/ Inner Curve Flattening","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":556,"value":"scenario_B_2_2_config = ({\n initialReserveTokenBalances: [\n ['0x0', 0],\n ['inner_curve_1', 20000],\n ],\n initialOuterShareTokenBalances: [\n ['curator_1', 100],\n ['curator_2', 100],\n ],\n initialInnerShareTokenBalances: [\n ['outer_curve', 200],\n ],\n actions: [\n { type: \"BURN\", target: \"nestedCurve\", args: ['curator_1', 100] },\n { type: \"SWAP\", target: \"nestedCurve\", args: ['innerCurve2'] },\n { type: \"MINT\", target: \"nestedCurve\", args: ['curator_1', \"MAX\"] },\n ],\n})","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":564,"value":"$38","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":917,"value":"## Scenario B.3 Principle Protected Nesting Strategies","pinned":true,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":931,"value":"$39","pinned":true,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":924,"value":" ### Experiment B.3.1: (Naive Approach) Principle-Protected Inner Curve\n This approach does not work because a Curator immediately incurs a loss upon minting on the nested curve. Such a Curator would be much better off minting directly on the inner curve.","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":930,"value":"scenario_B_3_1_results = {\n const { actions, initialReserveTokenBalances, recordState } = scenario_B_3_config\n \n const PrincipleProtectedCurve = withPrincipalProtection(withProportionalPayouts(BancorCurve))\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n const innerCurve = new PrincipleProtectedCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'inner_curve'})\n const outerCurve = new BancorCurve({ chain, reserveRatio: 1, reserveToken: innerCurve.shareToken, address: 'outer_curve'})\n const nestedCurve = new NestedCurve({ address: 'nested_curve', chain, reserveToken, innerCurve: innerCurve, outerCurve })\n\n const state = {\n chain,\n reserveToken,\n innerCurve,\n outerCurve,\n nestedCurve\n }\n\n return simulate3({\n actions,\n state,\n recordState,\n })\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":985,"value":"### Experiment B.3.2: Principle-Protection-Aware Nested Curve (Outer Ratio = 1)\nThis simulation shows a nested bonding curve that uses the cost basis of share tokens on the inner curve to decide how many shares to mint on the outer curve. This simulation uses a flat outer curve.\n\n| Param | Value |\n| ----- | ----- |\n| Inner Reserve Ratio | 1/2 |\n| Outer Reserve Ratio | 1 (flat) |","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":1003,"value":"scenario_B_3_2_results = {\n const { actions, initialReserveTokenBalances, recordState } = scenario_B_3_config\n \n const PrincipleProtectedCurve = withPrincipalProtection(withProportionalPayouts(BancorCurve))\n const NestedPrincipleProtectedCurve = withPrincipleProtectedInnerCurve(NestedCurve)\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n const innerCurve = new PrincipleProtectedCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'inner_curve'})\n const outerCurveConfig = { chain, reserveRatio: 1, reserveToken: innerCurve.shareToken, address: 'outer_curve' }\n const nestedCurve = new NestedPrincipleProtectedCurve({ address: 'nested_curve', chain, reserveToken, innerCurve: innerCurve, outerCurveConfig })\n\n const state = {\n chain,\n reserveToken,\n innerCurve,\n outerCurve: nestedCurve.outerCurve,\n nestedCurve\n }\n\n return simulate3({\n actions,\n state,\n recordState,\n })\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":1074,"value":"### Experiment B.3.3: Principle-Protection-Aware Nested Curve (Outer Ratio = 1/2)\nThis simulation shows a nested bonding curve that uses the cost basis of share tokens on the inner curve to decide how many shares to mint on the outer curve. This simulation uses a flat outer curve.\n\n| Param | Value |\n| ----- | ----- |\n| Inner Reserve Ratio | 1/2 | \n| Outer Reserve Ratio | 1/2 |","pinned":false,"hidden":false,"mode":"md","author":"$undefined","summary":"$undefined","output":"","database":"$undefined"},{"id":1066,"value":"scenario_B_3_3_results = {\n const { actions, initialReserveTokenBalances, recordState } = scenario_B_3_config\n \n const PrincipleProtectedCurve = withPrincipalProtection(withProportionalPayouts(BancorCurve))\n const NestedPrincipleProtectedCurve = withPrincipleProtectedInnerCurve(NestedCurve)\n \n const chain = new Chain({})\n const reserveToken = new Token({ initialBalances: initialReserveTokenBalances })\n const innerCurve = new PrincipleProtectedCurve({ chain, reserveRatio: (1/2), reserveToken, address: 'inner_curve'})\n const outerCurveConfig = { chain, reserveRatio: 1/2, reserveToken: innerCurve.shareToken, address: 'outer_curve' }\n const nestedCurve = new NestedPrincipleProtectedCurve({ address: 'nested_curve', chain, reserveToken, innerCurve: innerCurve, outerCurveConfig })\n\n const state = {\n chain,\n reserveToken,\n innerCurve,\n outerCurve: nestedCurve.outerCurve,\n nestedCurve\n }\n\n return simulate3({\n actions,\n state,\n recordState,\n })\n}","pinned":false,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":173,"value":"md`# Imports`","pinned":true,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"},{"id":172,"value":"_ = require('lodash@4.17.20/lodash.js')","pinned":true,"hidden":false,"mode":"ojs","author":"$undefined","summary":"$undefined","output":"$undefined","database":"$undefined"}],"files":"$W3a","stdlib":"1","titling":"auto"}} 2c:"$2b:body" 27:E{"digest":"NEXT_REDIRECT;replace;/@zerim/bonding-curve-prototypes;307;"}