From f87e11c7a8c966c6f987f183e8f7e5feb969ea39 Mon Sep 17 00:00:00 2001 From: "mia von steinkirch, phd" <1130416+miavonsteinkirch@users.noreply.github.com> Date: Thu, 17 Nov 2022 18:21:28 -0800 Subject: [PATCH] Create just-in-time_liquidity.md --- uniswap/just-in-time_liquidity.md | 14 ++++++++++++++ 1 file changed, 14 insertions(+) create mode 100644 uniswap/just-in-time_liquidity.md diff --git a/uniswap/just-in-time_liquidity.md b/uniswap/just-in-time_liquidity.md new file mode 100644 index 0000000..83abe01 --- /dev/null +++ b/uniswap/just-in-time_liquidity.md @@ -0,0 +1,14 @@ +## Just-in-time liquidity + +
+ +* jit liquidity is a form of liquidity provision where an LP mints and burns a concentrated position immediately before and after a swap. +* because provision has significant costs, it's usually only used against very large swaps +* jit lps face competition in mev auction market - the price improvement provided by jit liquidity should be capped by twice the fee rate of the pool that jit occurs in. + + +
+ +### resources + +* [uniswap's jit liquidity](https://uniswap.org/blog/jit-liquidity)