Uniswap Index Pools & Arbitrage Bot

Uniswap V4 pools for each index token will be launched, including an arbitrage method to peg the price using the existing mint/burn methods as loop. This enables 24/7 trade execution* for our products, eliminating the wait typically associated with equity-based pools that rely on limit orders and market hours.

The user interface remains unchanged. Our trade console stays clean and intuitive, while under the hood, our trade engine dynamically calculates the optimal route for every transaction, minimizing fees and maximizing output for the user.

Another big advantage: pools containing assets with a minimum trade size, such as Backed.Fi bonds with a $5K minimum, no longer have this constraint for the index as a whole. Thus liberating access to the entire community.

What Happens After BYOI

Following the successful deployment of Uniswap pools for our core proof-of-concept indices, the same infrastructure will be extended to our Build Your Own Index (BYOI) product.

  • Users can compose custom indices.

  • A minimum deposit will be required to:

    • Cover rebalancing fees.

    • Seed an automatically generated Uniswap V4 pool for the index.

  • Arbitrage bots will continue to keep index prices tightly pegged to NAV.

This system ensures composability, liquidity, and full market access—without the friction of legacy constraints.

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