cross-chain-pmm-lps/docs/15-gas-budgeted-micro-trade-support.md

Gas-Budgeted Micro-Trade Support

Use a small, explicit gas budget to run tiny support trades in the most important wrapped USD rails:

• cWUSDC against USDC
• cWUSDT against USDT
• fallback to the chain hub stable only when the matched rail is unavailable

What this is for

The goal is to give wrapped assets:

• observable turnover
• fresher route discovery
• tighter quote confidence
• inventory-sensitive support when a pool drifts away from target stock

This is a liquidity and price-discovery support lane. It does not create reserve backing or intrinsic value on its own.

Operating rule

Use the support lane only when all of these remain true:

• the trades stay micro relative to I_T^*
• gas is capped per epoch or time window
• matched rails are preferred: cWUSDC/USDC, cWUSDT/USDT
• inventory correction happens first
• alternating buys/sells are allowed only inside a small inventory band

Suggested control surface

Model or enforce these knobs:

• tradeSizeUnits
• tradesPerEpoch
• gasCostPerTradeUnits
• gasBudgetPerEpochUnits
• inventoryBandFraction
• maxFractionOfTarget
• preferMatchedQuote

Recommended interpretation

Think of this as paying a small amount of gas to keep the wrapper corridor economically live:

• If pool inventory is too low, sell a tiny amount of cW into the pool.
• If pool inventory is too high, buy a tiny amount of cW from the pool.
• If inventory is already near target, allow only very small alternating trades, still under the gas cap.

Scenario

The repo includes a ready-made scenario for the first three high-signal public rails:

node scripts/run-scenario.cjs micro_support_usd_wrappers_1_56_137

This runs on chains 1, 56, and 137 with cWUSDT and cWUSDC, full-quote topology, and a separate micro-trade policy budget.