Moving liquidity to Uniswap and resetting of price

To help with our listing on Coingecko and Coinmarketcap we want to move our liquidity to Uniswap. A lot of other protocols look at Uniswap’s token list as a source of truth so it would be helpful for us to have liquidity there.

We also believe this will help with the discoverability of the $ALLUO. Uniswap regularly processes over $800M in volume, while Balancer is around the $50M mark.

As we want to do this change, we want to make sure that we don’t have liquidity on Balancer and Uniswap at the same time which would otherwise create some arbitrage opportunities for bots.

As we change the location of our liquidity from Uniswap to Balancer, we also wanted to take the opportunity to shield Alluo lockers from having to provide liquidity automatically as they lock their tokens. Instead, the ALLUO/ETH Uniswap pool will effectively be protocol-owned liquidity. This means that going forward, locking and unlocking tokens will no longer influence the token price in a positive or negative way given that the locked tokens won’t be added automatically to the liquidity pool.

For lockers, we expect this change to have no influence on the number of tokens they would have otherwise been able to unlock (ie if an address was able to withdraw 1,000 tokens before the change, after the change the same address will be able to withdraw 1,000 as well)

As far as the Uniswap pool is concerned, alongside all the ETH that is currently in the Balancer pool, we will add an amount of $ALLUO tokens that are in line with the pool balance as of block number: 15645828, prior to some of the larger locking events.