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NostraSwap

A new-generation AMM that provides a stable and secure price oracle, and offers the fairest token swap prices.

NostraSwap

Created At

HackMoney 2021

Project Description

A new-generation AMM that provides a stable and secure price oracle, and offers the fairest token swap prices. We achieve this by doing the following:

  • Built-in arbitrage feature right into swap transaction
  • Split arbitrage profit between liquidity providers and traders
  • Impose a Limited Price Impact mechanism on the price oracle

Benefits:

  • Liquidity providers get compensated for their impermanent loss risk through profit splitting from built-in arbitraging
  • Traders get compensated for price slippage through profit splitting from built-in arbitraging
  • Built-in arbitrage and limited price impact oracle provides oracle consumer with more accurate on-chain oracle price

How it's Made

For our smart contract, we used hardhat as our development environment. We used Uniswap V2 through @uniswap/lib and @uniswap/v2-core js libraries to perform the built-in arbitrage.

For our frontend, we use Typescript and Next.js. In addition, we used Jupyter Notebook for our initial simulation, python scripting for our backtesting.

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