📈Logarithms in Finances

Introduction of Logarithmic Units: We describe our methodological research on introducing new logarithmic units - docent and domille - for measuring price ranges on a logarithmic scale. We explain the importance of using logarithmic scales in liquidity management, and how the new units can help improve the accuracy and precision of liquidity measurements. We discuss the advantages of using logarithmic scales over linear scales, and provide examples of how the new units have been used in Hypersea to enhance the liquidity management mechanism.

Application in Measuring Continuous Liquidity Density: We demonstrate how the new logarithmic units can be used to measure the continuous liquidity density in Hypersea. We explain the concept of continuous liquidity density, and how it can be used to evaluate the efficiency and effectiveness of liquidity allocation strategies. We provide examples of how the new units have improved the accuracy and granularity of liquidity density measurements, and discuss the benefits of using these units for both users and developers.

Future Research Directions: We outline future research directions for the use of logarithmic scales and new logarithmic units in liquidity management. In particular, we aim to explore the potential of these units in enhancing the transparency and usability of liquidity-related metrics. By providing more intuitive and user-friendly representations of liquidity-related data, these units can help improve the overall efficiency and sustainability of decentralized finance platforms. We also invite researchers and practitioners to collaborate with us on further development and implementation of these units.