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Market makers provide liquidity to other market participants: they propose prices at which they stand ready to buy and sell a wide variety of assets. They face a complex optimization problem with both static and dynamic components. They…

Trading and Market Microstructure · Quantitative Finance 2017-05-09 Olivier Guéant

A review of the Loop Algorithm, its generalizations, and its relation to some other Monte Carlo techniques is given. The loop algorithm is a Quantum Monte Carlo procedure which employs nonlocal changes of worldline configurations,…

Strongly Correlated Electrons · Physics 2014-10-13 H. G. Evertz

In this paper we present an algorithm for pricing barrier options in one-dimensional Markov models. The approach rests on the construction of an approximating continuous-time Markov chain that closely follows the dynamics of the given…

Pricing of Securities · Quantitative Finance 2015-03-13 Aleksandar Mijatovic , Martijn Pistorius

The prosperity of the cryptocurrency ecosystem drives the need for digital asset trading platforms. Beyond centralized exchanges (CEXs), decentralized exchanges (DEXs) are introduced to allow users to trade cryptocurrency without…

Cryptography and Security · Computer Science 2021-11-12 Pengcheng Xia , Haoyu wang , Bingyu Gao , Weihang Su , Zhou Yu , Xiapu Luo , Chao Zhang , Xusheng Xiao , Guoai Xu

There is a need for a simulation framework, which is develop as a software using modern engineering approaches (e.g., modularity --i.e., model reuse--, testing, continuous development and continuous integration, automated management of…

Software Engineering · Computer Science 2024-05-06 Önder Gürcan

The study proposes a quote-driven predictive automated market maker (AMM) platform with on-chain custody and settlement functions, alongside off-chain predictive reinforcement learning capabilities to improve liquidity provision of…

Trading and Market Microstructure · Quantitative Finance 2023-01-27 Tristan Lim

Automated Market Makers (AMMs) are a class of smart contracts on Ethereum and other blockchains that "make markets" autonomously. In other words, AMMs stand ready to trade with other market participants that interact with them, at the…

Mathematical Finance · Quantitative Finance 2022-12-22 Stefan Loesch

We study automatic sequences and automatic systems generated by general constant length (nonprimitive) substitutions. While an automatic system is typically uncountable, the set of automatic sequences is countable, implying that most…

Combinatorics · Mathematics 2024-12-04 Elżbieta Krawczyk

Current approaches to the cryptocurrency automated market makers result in poor impermanent loss and capital efficiency. We analyze the mechanics underlying DODO Exchange's proactive market maker (PMM) to probe for solutions to these…

Trading and Market Microstructure · Quantitative Finance 2025-01-08 Wayne Chen , Songwei Chen , Preston Rozwood

We consider here systems with piecewise linear dynamics that are periodically sampled with a given period {\tau} . At each sampling time, the mode of the system, i.e., the parameters of the linear dynamics, can be switched, according to a…

Logic in Computer Science · Computer Science 2011-11-15 Laurent Fribourg , Bertrand Revol , Romain Soulat

This paper proposes a novel continuous Local Flexibility Market where active power flexibility located in the distribution system can be traded. The market design engages the Market Operator, the Distribution System Operator and Market…

Systems and Control · Electrical Eng. & Systems 2022-07-13 Aikaterini A. Forouli , Georgios K. Papazoglou , Emmanouil A. Bakirtzis , Pandelis N. Biskas , Anastasios G. Bakirtzis

This work focuses on a self-exciting point process defined by a Hawkes-like intensity and a switching mechanism based on a hidden Markov chain. Previous works in such a setting assume constant intensities between consecutive events. We…

Methodology · Statistics 2025-02-07 Timothée Fabre , Ioane Muni Toke

We develop an axiomatic theory for Automated Market Makers (AMMs) in local energy sharing markets and analyze the Markov Perfect Equilibrium of the resulting economy with a Mean-Field Game. In this game, heterogeneous prosumers solve a…

Theoretical Economics · Economics 2026-01-01 Michele Fabi , Viraj Nadkarni , Leonardo Leone , Matheus X. V. Ferreira

A syntactic model is presented for the specification of finite-state synchronous digital logic systems with complex input/output interfaces, which control the flow of data between opaque computational elements, and for the composition of…

Logic in Computer Science · Computer Science 2023-02-02 Nick Mertin , K. Ritsuka , Karen Rudie

We present a novel Exchange Monte Carlo (EMC) method designed for application in continuous-space Path Integral Monte Carlo (PIMC) simulations at finite temperature. Traditional PIMC methods for bosonic systems suffer from long…

Statistical Mechanics · Physics 2026-05-26 Xun Zhao , Synge Todo

In this chapter, an input-output economic model with multiple interactive economic systems is considered. The model captures the multi-dimensional nature of the economic sectors or industries in each economic system, the interdependencies…

Systems and Control · Electrical Eng. & Systems 2025-07-29 Minh Hoang Trinh , Nhat-Minh Le-Phan , Hyo-Sung Ahn

An electronic circuit realization of the logistic difference equation is presented using analog electronics. The behavior of the realized system is evaluated against computer simulations of the same. The circuit is found to exhibit the…

Chaotic Dynamics · Physics 2007-05-23 Madhekar Suneel

In this paper, we investigate system theoretic properties of transient average constrained economic model predictive control (MPC) without terminal constraints. We show that the optimal open-loop solution passes by the optimal steady-state…

Systems and Control · Electrical Eng. & Systems 2020-10-21 Mario Rosenfelder , Johannes Köhler , Frank Allgöwer

Non Fungible Token (NFT) Industry has been witnessing multi-million dollar trade in recent times. With rapid innovation of the NFT market environment by technology, innovation, and decentralization, it is becoming hard to distinguish…

General Finance · Quantitative Finance 2022-01-19 Mayukh Mukhopadhyay , Kaushik Ghosh

Constant Function Market Makers (CFMMs) are a tool for creating exchange markets, have been deployed effectively in prediction markets, and are now especially prominent in the Decentralized Finance ecosystem. We show that for any set of…

Computer Science and Game Theory · Computer Science 2023-03-06 Mohak Goyal , Geoffrey Ramseyer , Ashish Goel , David Mazières
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