AMMs Deep Dive — Lesson overview

Build intuition firstWe’ll dissect constant-product AMMs (x·y=k), fees, and liquidity provisioning before touching code. You’ll see how pools quote prices, why slippage exists, and what impermanent loss (IL) really measures.

Then implementWe’ll sketch a minimal AMM pair contract, simulate trades, and layer in observability so LPs and traders see what’s happening. The goal: a small, auditable AMM core you can defend.

Ship with evidenceYou’ll leave with formulas, a swap function, and a checklist for price, reserves, and fee accounting you can prove correct with tests.