BNBx Ellipsis LP update: Migration from Stable pool to Crypto Pool

We have created a new BNBx-BNB Crypto pool on Ellipsis and will be incentivizing this new pool vs the BNBx-BNB Ellipsis Stable pool.

There are 2 main benefits for users and the ecosystem from this change

• Better exchange rate
• Higher capital efficiency

Crypto pools on Ellipsis are pools that hold assets with different prices while stable pools are primarily used for assets of the same prices (eg. BUSD <> USDC <> USDT).

BNBx and BNB have pegged assets but the BNBx price depends on its current exchange rate. As the BNBx exchange rate increases due to staking rewards, the design of the stable pool tries to maintain the prices of the two assets close to equal.

On the other hand, the crypto pool uses liquidity more effectively by concentrating it at current prices and hence provides better exchange rates. As trades happen, the pool readjusts its internal price to the highest liquidity region without creating losses for the pool.

Thus the crypto pool will offer a better exchange rate and high capital efficiency.

Please reach out to us on Telegram for any questions on the change.