From f2116779ec93c2ca481f62bf16625f29bfcab5b8 Mon Sep 17 00:00:00 2001
From: "dr. mia von steinkirch, phd"
 <1130416+mvonsteinkirch@users.noreply.github.com>
Date: Tue, 7 Feb 2023 19:47:06 -0800
Subject: [PATCH] Update just-in-time.md

---
 uniswap/uniswap-v3/just-in-time.md | 15 +++++++++++++++
 1 file changed, 15 insertions(+)

diff --git a/uniswap/uniswap-v3/just-in-time.md b/uniswap/uniswap-v3/just-in-time.md
index 694ec91..c4170bd 100644
--- a/uniswap/uniswap-v3/just-in-time.md
+++ b/uniswap/uniswap-v3/just-in-time.md
@@ -12,6 +12,21 @@
 * because provision has **high costs**, it's usually only used against very large swaps (i.e., it's a non-atomic strategy).
 
 
+<br>
+
+### example cex + dex
+
+<br>
+
+1. consider a JIT LP that has ETH and USDC both in a wallet and in a CEX. 
+2. when the LP observes a large ETH -> USDC swap in the mempool, they deploy a LP position on Uniswap, and at the same time submit an ETH buy order on the CEX. 
+3. after both trades, the LP has the same total amount of ETH and USDC as before. 
+4. assuming that the following holds, the LP are also profitable:
+
+```
+    fees_DEX + price_impact_DEX > fees_CEX + price_impact_CEX
+```
+
 
 <br>