Stableswap
An AMM curve tuned for assets meant to trade near 1:1, minimizing slippage between stablecoins and pegged pairs.
Stableswap (pioneered by Curve) is an AMM formula specialized for assets that should hold near-equal value — stablecoin pairs, or a token and its wrapped or staked version. Its curve stays nearly flat around the peg, so large swaps between, say, two dollar stablecoins incur minimal slippage.
This specialization made Curve the backbone of stablecoin liquidity and a strategic prize — protocols competed to direct its rewards (the “Curve wars”) because whoever controlled its emissions controlled where deep stablecoin liquidity formed. It’s a case study in how AMM design choices ripple into governance and market structure.