Introduction

Liquidity Pools

Arbitrageurs keep liquidity pools in check at all times. They maintain a 50:50 asset-to-liability ratio in the pool. If the value of Rune rises, so does the price of the pool. Arbitrageurs will profit by swapping Rune out of the pool and selling it on secondary markets until the price on Thorchain equals the price on the secondary market.

Now the question arises of

How the Best Liquidity Pools are identified?

RANKS!!!

The amount of money added to the pool, expressed as a percentage of ownership. Percentage of swap volume Slippage swappers are ready to take risks. RUNE vs ASSET vs RUNE vs ASSET vs RUNE vs ASSET v The incentive pendulum is swinging back and forth.

TVL

The total amount of underlying supply that is being secured by a specific application by DeFi completely represents the number of assets that are currently being staked in a specific protocol: this value is not meant to represent the number of outstanding loans, but rather the total amount of underlying supply that is currently being staked in a specific protocol. With no pegged or wrapped tokens, THORChain allows for cross-chain liquidity pools.

$435.68 million in total value has been secured.

Staking: $573.26 million 

Methodology

The method used to view this Bounty includes studying the total TVL locked up in all the assets of Thorchain and comparing them with the Rune amount in the Pool. Furthermore, The Rune Values locked up in the Terra ecosystem are also considered and charted over time. Therefore a number of comparing charts are produced and listed in this dashboard. This dashboard is created using the real amount of Rune and other assets,than the USD value.

Firstly, The Total Value Locked up in the thorchain ecosystem is analyzed here by taking the Rune amount in the pools and are charted for different pools over time. Here TERRA.LUNA pool ranks the first in Rune amount.

The Average of all the assets is charted here per pool per day and is analyzed and compared. Upon comparing all the assets in the thorchain ecosystem. This indicates that TERRA.LUNA holds the maximum TVL among the average of all the assets.

For the whole datasets, The trend in the TVL Locked up till date in all the assets as well as Rune is hereby charted and the trend follows a linear increase in the TVL with certain dips.Now let us look into the TERRA assets .

The TVL of the Rune in both TERRA.LUNA and TERRA.UST overtime is accounted for over a chosen period of time. It is seen that TERRA.LUNA had the highest assets over time.

By keeping the TERRA.LUNA and TERRA.UST as stable, all the assets are averaged to find the TVL Locked up in these pools for all the available assets. This reveals that the TERRA.UST Pool ranks first than the TERRA.LUNA pool.

Both the chart here shows the trend followed by the Total Value Locked in the TERRA pools by accounting for both the Rune as well as other assets are viewed by time. In the RUNE assets, the trend in TVL assets is higher than TVL Rune but in the case of average assets, TERRA.LUNA has faced a drastic decrease in the TVL.

Both the pools are counted here. The pool that Ranks best in the TVL is the TERRA.LUNA pool and the TVL are increasing over time.

Conclusion

The pools in the TERRA have been accounted as well as all the pools in the thorchain ecosystem are also considered for finding the ranks of the pools. Hence the different approaches to finding the TVL in the thorchain Liquidity pools are embedded here.

Reference:

https://medium.com/thorchain/an-in-depth-guide-to-thorchains-liquidity-pools-c4ea7829e1bf

https://defillama.com/protocol/thorchain