Reweight
Reweights are used to return the Pancake spot price of the $KEY-$HERO pair back to 1.
The algorithm is as follows:
  1. 1.
    withdraw 99% of the $KEY and $HERO from pancake LP pool.
  2. 2.
    execute a trade with held $KEY to bring the spot price back up to 1
  3. 3.
    Mint needed $KEY so the LP pool will hold 1 million $KEY.
  4. 4.
    deposit $KEY and $HERO so the LP pool has 1 million $KEY and 1 million HERO (roughly).
  5. 5.
    Burn the excessive $HERO.
Only 99% is withdrawn because if there are no other LPs there could be rounding errors
Last modified 5mo ago
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