The problem with liquidity pools in general is that they centralize all user funds Therefore there is always the possibility that someone can exploit them. It is inherent to the structure. Atomic swaps have the potential to stop this.
𝗧𝗵𝗲 $42𝗠 𝗚𝗠𝗫 𝗲𝘅𝗽𝗹𝗼𝗶𝘁 𝗼𝗻 𝗔𝗿𝗯𝗶𝘁𝗿𝘂𝗺 𝗱𝗶𝗱𝗻’𝘁 𝗻𝗲𝗲𝗱 𝘁𝗼 𝗵𝗮𝗽𝗽𝗲𝗻. Could a single design choice have saved GMX and its LPs? Here’s exactly what happened, why it keeps happening in DeFi, and how 𝗮𝘁𝗼𝗺𝗶𝗰 𝘀𝘄𝗮𝗽𝘀 𝘄𝗼𝘂𝗹𝗱 𝗵𝗮𝘃𝗲 𝗽𝗿𝗲𝘃𝗲𝗻𝘁𝗲𝗱 𝗶𝘁 𝗲𝗻𝘁𝗶𝗿𝗲𝗹𝘆, ELI5 Style 🧵⤵️
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