RE: My First Real Dive into Concentrated Liquidity Pools

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I've only read about Concentrated Liquidity pools recently while reading the Docs of Bluefin, a spot and perps dex on Sui. There's auto-rebalancing feature for certain pools when the chosen price range is out of the market price. In theory, this feature makes sense but I don't know how it'll perform in practice, especially when the market is really volatile or if associated fees are involved with every rebalancing.

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In theory, this feature makes sense but I don't know how it'll perform in practice, especially when the market is really volatile or if associated fees are involved with every rebalancing.

You are right. It probably depends on how often rebalancing happens, how expensive fees are, and how big the positions are. From what I know, fees on Sui are small, and if positions are big enough, it may be worth it even in volatile markets and in tighter ranges.

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Yes, I think that part helps. If the fees are small then it wouldn't cost much even during volatile periods. Volume on the other seems moderate but I guess there's room for growth with new networks.

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