Arbitrage as the Volume Engine

Arbitrage is not a problem to be avoided. It is the mechanism that keeps the flywheel turning.

What happens

• After swaps, prices diverge between:

  • Token/SENTRY pools

  • Token/WSOL markets

  • SENTRY/WSOL markets

• Arbitrage bots rebalance those prices, creating continuous volume across all pools.

Why it compounds

• Higher volume produces more LP fees.

• More fees expand the Index Fund.

• A larger Index Fund drives more pool creation and more SENTRY buy pressure.