Pools & Oracle Market Price
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Each pool consists of two assets, an LP token and ETH (acting as a bridging token). In each pool, the bridging token will act as a bridge between pools to facilitate the exchange between two LP tokens.
The value of LP tokens, minted by constant market maker based protocols, is calculated by fetching the underlying assets Oracle prices as follows:
The Oracle price represents the price denominated in US dollars that one has to pay to acquire one LP token when paying with ETH. The value of is not defined by the current state of the pool, and therefore, is not vulnerable to asset quantity manipulations in the underlying pool.
