The idea behind Mooniswap
Mooniswap was developed by the 1inch team as an automated market maker with a different approach to price updates after a trade.
Built by the 1inch team
Mooniswap grew from the same team that created the 1inch aggregation protocol. Its original open source contracts describe a two-token liquidity pool, swaps, deposits, and withdrawals. The protocol was later known as the 1inch Liquidity Protocol.
Why virtual balances?
In a conventional pool, the displayed price changes immediately after a swap. Mooniswap uses virtual balances that move toward the real balances over time. The mechanism was designed to reduce the value that arbitrageurs can extract from liquidity providers.
Explore the mechanismRead the source
For technical details, inspect the original Mooniswap contracts in the 1inch GitHub repository. Treat this site as an introduction and verify contract addresses before interacting with any wallet.
Original contracts