Another dimension

This is more of a philosophical discussion than a technical discussion. Tech cannot go anywhere if the philosophy is not right.

Bonding curve is cool and bonding curve sale is fantastic. But I think there are more ways.

Looking into the most recent defi boom, I think we crypto people have built a good decentralized financial infrastructure: We have dex, lending and borrowing, synthetic assets etc. I see a missing piece which is customized swap with limited time and liquidity, or you can think it like some type of auction.

Bonding curve sale is based on fomo and people pay for their interests by increasing the bid prices. It feels exactly the same as if you play in Casino: the more you win, the more you want to win; the more you lose, the more you want to win. This game quickly gets unreasonable and unprofessional. The market price search more often than not gets very greedy and it ends up with fucked up prices at the end of bonding curve sale. I know demand and supply define prices in the market, but for something like crypto, this types of game is disastrous.

Part of the solutions is to use time based sales. This is how part of Bounce is built. The fixed bounce pool has two clear limits: time and bounce level. In my opinion, it is always good to put limits because there is should be scarce of resources in any market including financial market. Also, fixed bounce pool has fixed swap ratio, which I think it is important for the pool creators to decide the values of his swaps themselves. There is not a lot of reasonable people who can play price search rationally.

Talking about dynamic bounce pool, I promote communism ideology. Even if we are doing a price search, people should decide demand together and economists call it aggregate demand. Every participant should get some swaps from a dynamic bounce pool and should agree on the closing swap ratio of the bounce pool. The idea of bonding curve sale is that creators give signals and hide behind the scene to check all the price search progress. However, the idea of dynamic bounce pool is that pool creators need to be committed first and give the rest of control to aggregate demand creators.



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An experiment. Decentralized Auction. Swap or get bounced.