# Dual-liquidity type

Each Camelot LP can have its own type, depending on the expected price correlation level between the two tokens of the pair.

### Volatile pairs

Volatile pairs are composed of uncorrelated assets, based on the usual UniV2 model, using the standard constant product formula:

$$
x \* y = k
$$

### Stable pairs

Stable pairs are used for correlated assets, and will try to maintain a 1:1 transfer ratio as much as possible. The formula is based on the well-known Solidly curve:

$$
x^3y + y^3x = k
$$


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