If I go to https://app.uniswap.org/#/add/0xa0b86991c6218b36c1d19d4a2e9eb0ce3606eb48/0xc02aaa39b223fe8d0a0e5c4f27ead9083c756cc2/3000?chain=mainnet I can see liquidity details for USDC-DAI

It looks like this: enter image description here

As far as I know, Uniswap is an constant product AMM so the liquidity inside should reflect the price Based on the total value locked the price of ETH should be: 131.87m/91.43k which is 131000000.87/91000.43 and this is equal to 1439.55

What am I doing wrong, the correct price should be 2550.


1 Answer 1


You're mistaken, Uniswap v3 does not use the formula x*y=k for real amounts of assets. It's a concentrated liquidity AMM and uses a concentrated liquidity formula.

Read Uniswap v3 whitepaper. Specifically the formula 2.2 defines liquidity in v3. If you operate with virtual reserves of x and y then the relationship between price and liquidity (formulas 6.3 to 6.6) is the same as in v2. But virtual reserves x and y are not the same as the actual (real) token reserves in the pool, due to the concentrated liquidity feature.

Your Answer

By clicking “Post Your Answer”, you agree to our terms of service, privacy policy and cookie policy

Not the answer you're looking for? Browse other questions tagged or ask your own question.