What is a pool?

A pool is assets liquidity pool, usually it contains 2 kinds of assets allowing users to exchange between two assets. Pikoswap currently supports the pool with NFT/ETH assets. Anyone holding NFTs for this collection can swap them for ETH, and the reverse is also true. Anyone can provide liquidity on Pikoswap.

Ideally, a pool contains certain amount of both assets, enabling users to swap back and forth between them. However, it's also possible to create a pool with just one asset, meaning that users will only be able to buy that asset from the pool.

Generally, we think that the NFTs in a pool are a collection of similar quality and price. They are traded according to the transaction logic of the pool, are applicable to the price range and will not distinguish particularly.

3 types of pools

Buy-only pool: when users make an offer to buy a NFT collection, they're actually creating a buy-only pool for this kind of collection. They become the pool owner and specify the collection, NFT numbers and acceptable price range. The others can only sell NFTs to the pool and gain tokens.

Sell-only pool: when users make a listing on Pikoswap, they're actually creating a sell-only pool. They are the pool owner, depositing their own NFTs, determining the price range. The others can only buy NFTs from the pool and pay tokens to the pool.

Both pool: The pool owner deposits both his/her NFTs and ETH tokens, others can either sell or buy to/from the pool at the price adjusted by the bonding curve. The pool owner can set the trading fee rate and earn from each trade.