EP 30: Insurance for Impermanent Loss with Bancor V2.1

I started looking at Bancor years ago, because it had the same name as the world currency John M. Keynes had in mind. Their math fascinated me, and that's how I got started with the AMM rabbit hole! The Bancor V1 token economics analysis report (https://www.economicsdesign.com/portfolio/bancor/) is about how Bancor works and what the token does. Bancor has been working on a few improvements, from price slippage issues to impermanent loss. V2 of Bancor was about dynamic weight, which is something really fascinating. But let's focus on their latest update, V2.1. V2.1 follows the static 50-50 weight as V1, aka the Uniswap style. The new introduction is the insurance for impermanent loss. So you will have ZERO impermanent loss. You get subsidised for any losses sustained. How does that work? Let's find out in this episode. We will also cover the supply of $BNT based on the various actions in the ecosystem and how that indirectly affects the price of $BNT. Want more in-depth content? Join our Token Economics 201 course at www.education.economicsdesign.com!