Initiating an auction
A rebalancing auction is started when the basket publisher calls the publishNewIndex
function on the basket contract.
This function takes the following arguments:
_tokens
an array of token addresses
_weights
an array of weights. The weight is the amount of a given token for each
_minIbRatio
the minimum ibRatio that will be required after a successful rebalance
The ibRatio (index to basket ratio) is a parameter that tracks the amount of each token in the basket over time.
Number of tokens[i] in 1 basket token = weights[i] * ibRatio
The ibRatio is 1 at basket creation.
The ibRatio will decrease when fees are collected.
The ibRatio can increase if rebalancing auctions are favorable to basket token holders
The first time the publisher calls publishNewIndex
, the new index will be queued for a 24 hour timelock. After the required time has elapsed, the publisher will be able to call publishNewIndex
again to start the auction.
Last updated