Generalization to broader CFMMs

Determine which monotonicity arguments established for constant-product automated market makers remain valid for broader classes of constant-function market makers.

Background

The paper derives exact leakage thresholds and sandwich-profit formulas for fee-free constant-product automated market makers, where algebraic cancellations make the analysis tractable. It notes that these cancellations are specific to the constant-product invariant and may not extend to other pricing rules. The unresolved problem is to identify the broader classes of constant-function market makers for which the paper’s monotonicity-based reasoning continues to hold.