Cross-chain AMM

The mechanism underlying the cross-chain infrastructure of GrokSwap.

The necessary wrapped assets can be permissionlessly minted on the network once the GrokSwap Network obtains confirmation of on-chain occurrences on a source chain. Users frequently prefer to get native bridged assets from chains that are connected to the GrokSwap network but separate from it, such as native ETH on Arbitrum. When this occurs, the W AMM is requested to carry out necessary transactions during the bridging procedure.

The stableswap algorithm is used by GROK AMM pools to price transactions and provide incentives for asset rebalancing during the swapping and bridging process. These pools are set up on every chain that the GrokSwap network is linked to, allowing quick and secure liquidity transfers between all of these networks.

As a result, capital is continuously moved to the most desirable ecosystems by creating cross-chain dynamic pricing of all assets supported by the GROK Network depending on fluctuating user demand. Arbitragers are encouraged by the AMM's pricing to rebalance the pool through different on- and off-ramps as a pool within a single destination chain becomes unbalanced as a result of one-directional capital flow, in turn providing fees for protocol income.

Cross-Chain Swaps Beyond Stables

GrokSwap's initial implementation of the protocol only permits cross-chain swaps within stables (for instance, exchanging BNB Chain's BUSD for Scroll's USDC).

However, GrokSwap will introduce a cross-chain router delivering the most reliable multi-chain swapping experience in DeFi as the protocol develops.