In Uniswap's liquidity pool, the value of two assets is always the same at any given time, meaning the price of the assets is equal to the ratio of the quantities of the two assets. Is there a way to have a different price for the assets than the quantity of assets? Or can a pool have more than two types of assets?
The uniqueness of Balancer lies in its ability to find a more general formula of xy=k. In an asset pool, the quantity of each asset is raised to the power of its weight as an exponent, and the product of this value for all assets is calculated and kept constant as V. The weights of each asset are predefined and sum up to 1. This way, a more general version of xy=k is obtained. When there are only two assets in the pool and their weights are both 0.5, this special case becomes x*y=k. The specific mathematical formulas and arbitrage methods are not discussed here, but you can refer to relevant materials if interested.
Balancer's liquidity pool supports up to 8 types of assets. It provides three types of pools, each with a different way of controlling the pool parameters - asset types, weights, and transaction fees.
Balancer is indeed a more generalized version of Uniswap, but it requires higher requirements from users. Additionally, due to the more complex calculations, the transaction fees for each trade are higher than Uniswap. Currently, there is still a significant difference in trading volume compared to Uniswap.