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Update uniswap-v3.md #104

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4 changes: 2 additions & 2 deletions src/milestone_0/uniswap-v3.md
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Expand Up @@ -15,7 +15,7 @@ What caused this problem is that liquidity in Uniswap V2 pools is distributed in

![The curve is infinite](images/curve_infinite.png)

This might not seem like a bad thing, but this makes capital inefficient. Historical prices of an asset stay within some defined range, whether it's narrow or wide. For example, the historical price range of ETH is from $0.75 to $4,800 (according to [CoinMarketCap](https://coinmarketcap.com/currencies/ethereum/)). Today (June 2022, 1 ETH costs \$1,800), no one would buy 1 ether at \$5000, so it makes no sense to provide liquidity at this price. Thus, it doesn't make sense to provide liquidity in a price range that's far away from the current price or that will never be reached.
This might not seem like a bad thing, but this makes capital inefficient. Historical prices of an asset stay within some defined range, whether it's narrow or wide. For example, the historical price range of ETH is from $0.75 to $4,800 (according to [CoinMarketCap](https://coinmarketcap.com/currencies/ethereum/)). Today (June 2022, 1 ETH costs \$1,800), no one would buy 1 ether at \$5000, so it makes no sense to provide liquidity at this price. Thus, it doesn't make sense to provide liquidity in a price range that's far away from the current price or that will never be reached.

> However, we all believe in ETH reaching \$10,000 one day.

Expand Down Expand Up @@ -116,4 +116,4 @@ Ticks are integers that can be positive and negative and, of course, they're not

$$[log_{1.0001}2^{-128}, log_{1.0001}{2^{128}}] = [-887272, 887272]$$

> For deeper dive into the math of Uniswap V3, I cannot but recommend [this technical note](https://atiselsts.github.io/pdfs/uniswap-v3-liquidity-math.pdf) by [Atis Elsts](https://twitter.com/atiselsts).
> For deeper dive into the math of Uniswap V3, I cannot but recommend [this technical note](https://atiselsts.github.io/pdfs/uniswap-v3-liquidity-math.pdf) by [Atis Elsts](https://twitter.com/atiselsts).