Loans: don't consider avg invested. Update docs

common/src/calculate.ts

@@ -257,7 +257,7 @@ function getDpmInvested(yourBets: Bet[]) {
   })
 }
 
-function getSimpleCpmmInvested(yourBets: Bet[]) {
+export function getSimpleCpmmInvested(yourBets: Bet[]) {
   const total = sumBy(yourBets, (b) => b.amount)
   if (total < 0) return 0
   return total
@@ -274,31 +274,6 @@ export function getInvested(contract: Contract, yourBets: Bet[]) {
   return getDpmInvested(yourBets)
 }
 
-/**
- * Take the minimum of the average cost basis and the simple cost basis (sum of bet amounts).
- */
-export function getMinimalInvested(contract: Contract, yourBets: Bet[]) {
-  const { mechanism } = contract
-  if (mechanism === 'cpmm-1') {
-    const costBasisAvg = getCpmmInvested(yourBets)
-    const simpleCostBasis = getSimpleCpmmInvested(yourBets)
-    return Math.min(costBasisAvg, simpleCostBasis)
-  }
-  if (mechanism === 'cpmm-multi-1') {
-    const betsByAnswerId = groupBy(yourBets, 'answerId')
-    const investedByAnswerId = mapValues(betsByAnswerId, getCpmmInvested)
-    const costBasisAvg = sum(Object.values(investedByAnswerId))
-
-    const simpleInvestedByAnswerId = mapValues(
-      betsByAnswerId,
-      getSimpleCpmmInvested
-    )
-    const simpleCostBasis = sum(Object.values(simpleInvestedByAnswerId))
-    return Math.min(costBasisAvg, simpleCostBasis)
-  }
-  return getDpmInvested(yourBets)
-}
-
 function getCpmmOrDpmProfit(contract: Contract, yourBets: Bet[]) {
   const { resolution } = contract
 

common/src/loans.ts

@@ -1,6 +1,6 @@
 import { Dictionary, sumBy, minBy, groupBy } from 'lodash'
 import { Bet } from './bet'
-import { getMinimalInvested, getProfitMetrics } from './calculate'
+import { getProfitMetrics, getSimpleCpmmInvested } from './calculate'
 import {
   Contract,
   CPMMContract,
@@ -67,13 +67,13 @@ const getCpmmContractLoanUpdate = (
   contract: CPMMContract | CPMMMultiContract,
   bets: Bet[]
 ) => {
-  const invested = getMinimalInvested(contract, bets)
+  const invested = getSimpleCpmmInvested(bets)
   const { payout: currentValue } = getProfitMetrics(contract, bets)
   const loanAmount = sumBy(bets, (bet) => bet.loanAmount ?? 0)
-  const oldestBet = minBy(bets, (bet) => bet.createdTime)
 
   const loanBasis = Math.min(invested, currentValue)
   const newLoan = calculateNewLoan(loanBasis, loanAmount)
+  const oldestBet = minBy(bets, (bet) => bet.createdTime)
   if (!isFinite(newLoan) || newLoan <= 0 || !oldestBet) return undefined
 
   const loanTotal = (oldestBet.loanAmount ?? 0) + newLoan

docs/docs/faq.md

@@ -278,7 +278,7 @@ The liquidity in a market is the amount of capital available for traders to trad
 
 ### What are loans?
 
-Every day at midnight PT, get 2% of your total bet amount back as a loan. You can see how much your next loan is worth on the top right of your profile page.
+Every day at midnight PT, get 4% of your total bet amount back as a loan. If your bet has depreciated in value, you will get 4% of the lower value. You can see how much your last loan was by navigating to your Notifications and then Balance changes tab.
 
 - **Do I have to pay back a loan?**
   Yes, but don't worry! You will automatically pay back loans when the market resolves or you sell your bet. If this causes your balance to go negative then you will have to free up some mana before you can start trading again.
@@ -291,8 +291,8 @@ Every day at midnight PT, get 2% of your total bet amount back as a loan. You ca
   It's possible, but very rare.
 
 - **What is an example?**
-  If you bet M1000 on "Will I become a millionaire?" today, you will get M20 back tomorrow.
-  Previous loans count against your total bet amount. So on the next day, you would get back 2% of M(1000 - 20) = M19.6.
+  If you bet M1000 on "Will I become a millionaire?" today, you will get M40 back tomorrow.
+  Previous loans count against your total bet amount. So on the next day, you would get back 4% of M(1000 - 40) = M38.4.
 
 ## Misc
 

web/components/profile/loans-modal.tsx

@@ -19,7 +19,8 @@ export function LoansModal(props: {
           <span className={'text-primary-700'}>• What are daily loans?</span>
           <span className={'ml-2'}>
             Every day at midnight PT, get {LOAN_DAILY_RATE * 100}% of your total
-            bet amount back as a loan.
+            bet amount back as a loan. If your bet has depreciated in value, you
+            will get {LOAN_DAILY_RATE * 100}% of the lower value.
           </span>
           <span className={'text-primary-700'}>
             • Do I have to pay back a loan?