# ๐StableSwap AMMs

Basic Financial Services of Zootopia

โโUtilizing a *Zootopia Stableswap* model, users are able to:

Swap stablecoins at **hyper-efficient** exchange rates with **minimal slippage.**

Earn a **sustainable and optimal yield** on their assets via **Muli-staking** pools.

We maximize capital utilization to fuel DeFi growth and adoption

โโZootopia Finance forked with Curve. For Details, check CURVE WHITEPAPER.

## Why provide stableswap service?

Although stable swaps seem like a simple enough concept, they're actually quite complex under the hood. Although complex, their efficiency has made stable swaps one of the most important tools in decentralized finance (DeFi) today.

**How Stableswap Invariant Pools Work**

**How Stableswap Invariant Pools Work**

Stableswap pools are the middle ground between constant product pools and constant price pools. A constant price pool is similar to a constant product pool, but uses a constant sum formula * Rx*+

*=*

**Ry****k**, resulting in a constant price

**โx**/

**โy**= 1.

The stableswap invariant algorithm uses an amplification parameter **A** that determines how close the stableswap curve should be to the constant product curve; an amplification value of 0 (*A = 0*) achieves results identical to the constant product pool algorithm; higher values of *A* push the curve closer to the constant price curve, resulting in lower slippage for exchange rates close to 1:1.

The formula for the stableswap invariant works by combining terms representing the constant product and constant sum formulas. It's using the constant **D** to represent the total number of tokens in the pool when token X and token Y have an equal price, and **A** represents the amplification parameter. The formula can be written as:

#### Zootopia can gain the following advantages by developing a DEX exchange:

Sustained and stable fee income.

Provide liquidity for stablecoins trading pairs,

**BNB-stkBNB**trading pairs,**ETH-womETH**trading pairs and other basic trading pairs, enriching the BSC network ecology.Provide liquidity for Zootopia's financial lending services and derivatives trading.

## Differences from other DEXs

Zootopia pool features unilateral liquidity provision where only one type of token is needed. No liquidity pair token-making is required from your cauldron, which makes liquidity provision impeccably flexible and scalable.

In addition to providing basic Base Reward income, Zootopia also allows users to use **Citizen Passport NFT for Boost**.

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