Preminted JPT

Preminted JPT in JellySwap: A Simplified Look

Understanding Preminted JPT: JellySwap pools have evolved and a new concept called "Preminted JPT" has emerged. Why? Well, as more complex pool setups (like nested pools) became popular, there was a need for easier transitions from a token in a pool directly to its JPT (JellySwap Pool Token). Normally, this transition is called a "join", and it can be complex and costly in gas when part of a multi-hop batch swap.

What Does preminted JPT Do?

• When the pool is created, it mints the maximum amount of JPT possible (2**(111)) right away.

• This JPT is then treated as a regular token within the pool.

• However, the pool's calculations act as if this JPT isn't there, making the total JPT supply not that meaningful.

• Instead, what matters is the "virtual supply" – which is the JPT amount actually held by users outside the Vault.

What's the Benefit?

• With pools having Preminted JPTs, like the Composable Stable Pools, users can directly swap from a token in the pool to its JPT.

• Before Preminted JPT, this kind of swap needed a separate "join" process.

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In simpler terms: Preminted JPT is like a pre-loaded gift card for JellySwap pools. Instead of minting new JPT tokens every time a user adds liquidity to a pool, the maximum JPT balance is minted upfront, making entrances into the pool cheaper.