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Author Topic: What is Uniswap TWAMM?  (Read 51 times)
James Smith@686 (OP)
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July 29, 2021, 06:22:37 AM
 #1

The founder of Uniswap and the Paradigm research team are collaborating to design a new market-making model TWAMM to improve large-scale Ethereum transactions.
https://www.paradigm.xyz/2021/07/twamm/
casperBGD
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July 29, 2021, 08:49:59 AM
 #2

it is an interesting development, although there is no explanation what TWAMM is in this topic, so here are the basics

when you are trying to swap large-amount of money within Uniswap, for example, you will influence market price (there is actually slippage percentage defined at Uniswap), so basically you have to make several transactions, with lower amounts, to decrease your influence on LP's where you want to make a swap, and you have to do it manually

TWAMM is automatizing that process, and split your large transaction into a lot of small transactions, that would not influence market price at all, basically tool for whales, not for a retail traders
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