Uniswap and Automated Market Makers, Explained by Cointelegraph
Uniswap and Automated Market Makers Explained
Bugs, inappropriate pricing and impermanent loss
Despite certain positive qualities, MAs present certain risks and limitations. Hacks and vulnerabilities have already affected exchanges such as Uniswap and Balance, where some liquidity providers have had their money stolen due to complex smart contract interactions. On the other hand, traders expose their strategy to the world, enabling leaders to get their orders first and exploit legitimate users.
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