Liquidity management

What the underlying ALM does

• Picks a new set of V3 tick ranges and withdraws/deposits on-chain when a rebalance executes.

• Uses strategy parameters (Base order width, Limit order width, Full-range weight, etc.) to compute the new positions at rebalance time. These parameters implement mean-reversion logic that concentrates liquidity around a target price while guaranteeing some full-range liquidity for tradability.

• Enforces a minimum Rebalance Period and minimum tick movement before rebalances can be executed (so rebalances are not spammed). Automation approaches include third-party automation providers, incentivised callers, keeper bots, or manual calls - each has different tradeoffs.

How we got here

We evaluated and compared 19,200 parameter combinations (tick widths, weights, rebalancing periods, thresholds, and fee trade-offs) on a mainnet-fork where we deployed everlong and LPd into Uniswap V3 and simulated all of the historical activity on the pool with different parameter configuration. Brute force restults can be seen here Password: spnczandethbr-3423 Currrent Parameters:

The image above shows an example of the liquidity concentration at $110,900 BTC spot price

Parameter	Value	Unit / notes
Wide Weight	150000.00	Full-range / wide range weight (internal units; controls percent of liquidity left in full range - see appendix for exact scaling)
Wide Threshold	7980.00	tick width for the wide/full range (Uniswap V3 ticks)
Base Threshold	3600.00	base order width (ticks). this defines the primary capture band for fees.
Limit Threshold	900.00	limit order width (ticks) - narrower band for higher frequency capture inside the base band.
Rebalance (Update) Period	172800.00	seconds (172,800 s = 48 hours). rebalances cannot be executed before the configured period elapses.

How the numeric thresholds map to price movements

Uniswap V3 tick widths map to multiplicative price moves. The Vault Parameters doc derives the mapping using 1.0001^B where B is the tick width. We show the mapping for Base Threshold = 3600 meaning liquidity in the base range is placed

• Above spot price side : 1.0001^3600 − 1 = 0.43330361658285476 → +43.330% (approx +43.33%).

• Below spot price (price down): 1 − 1.0001^(−3600) = 0.3023111164792116 → −30.231% (approx −30.23%).