RNC/USDC swap on raydium.io explained
Raydium.io is a decentralized exchange on the Solana blockchain. It allows users to swap tokens, provide liquidity, and earn fees. The RNC/USDC liquidity pool on raydium.io is a pool of RNC and USDC tokens that has been deposited to facilitate trading. The pool ensures that there is enough liquidity for users to trade RNC and USDC tokens. When users swap tokens on raydium.io, they are essentially trading with the liquidity pool. The price of RNC/USDC on raydium.io is determined by the ratio of RNC to USDC in the liquidity pool. When the ratio changes, the price of RNC/USDC also changes. This is known as an automated market maker (AMM) mechanism.
How many RNC exist? Fixed supply of 10 million, no new RNC can be created. Mint address: RNCoMmGbjMKg6aJRfpoosnjuP7Xp2MLrYn1bvdr5usE.
- 1.1% initial liquidity on raydium.io.
- 15% liquidity reserve to keep RNC price on target trajectory, see below.
- 3.9% reserved for the ResNet Team, the Core Advisory Board.
- 4x 20% reserved for 4 payout phases to app users, see whitepaper:
- Phase 1, while price is above 0.8 USD, not before 1 Feb 2028.
- Phase 2, while price is above 4 USD, not before 1 May 2031.
- Phase 3, while price is above 20 USD, not before 1 Sep 2034.
- Phase 4, while price is above 100 USD, not before 1 Aug 2039.
| The USDC values of the RNC and USDC liquidity pools are always equal. Ignoring fees, k = x*y = 605'000'000 always remains constant. Fees (per buy/sell): 0.22% go to liquidity providers, 0.03% go to raydium.io. | |
| As of 01 Jan 2023 | |
| RNC liquidity pool Liquidity [RNC]: x = 110'000 | USDC liquidity pool Liquidity [USDC]: y = 5'500 |
| Price RNC/USDC: y/x = 0.05 USDC | |
| Value: 5'500 USDC | Value: 5'500 USDC |
| As of 01 Jan 2025 | |
| Liquidity [RNC]: 63'898.05 | Liquidity [USDC]: 9'480.81 |
| Price RNC/USDC: 0.148374 USDC | |
| Value: 9'480.81 USDC | Value: 9'480.81 USDC |
| After buy/sell (simulation) | |
| Liquidity [RNC]: 63'898.05 | Liquidity [USDC]: 9'480.81 |
| Price RNC/USDC: 0.148374 USDC | |
| Value: 9'480.81 USDC | Value: 9'480.81 USDC |
| Amount received: 0 USDC Fee paid to liquidity providers: 0 USDC Fee paid to raydium.io: 0 USDC | |
| Arbitrage via RNC/SOL (simulation) | |
| Current SOL/USDC price [USDC]: Assumed future SOL/USDC price [USDC]: Assumed liquidity [RNC]: | |
| RNC liquidity pool Liquidity [RNC]: 0 | SOL liquidity pool Liquidity [SOL]: 0 |
| Value: 0 USDC | Value: 0 USDC |
| 0 USDC -> 0 RNC -> 0 SOL -> 0 USDC | |
| Amount received: 0 USDC Fee paid to liquidity providers: 0 USDC Fee paid to raydium.io: 0 USDC New RNC/USDC price: 0 USDC | |