🆑Concentrated Liquidity
Powered by Algebra
With Algebra tech, a single pool is established for each pair of tokens. This approach minimizes liquidity fragmentation, making it simpler for users to decide where to allocate their liquidity and enabling routers and aggregators to identify optimal swap routes more efficiently.
Making use of:
TWAP-oracle (Time-weighted average oracle): This oracle provides average statistical information about the price of a specific token pair, making it easy to access.
Volatility-oracle: Utilizing data from the TWAP-oracle, the plugin efficiently calculates the daily volatility of the price in a token pair.
Dynamic fee: Taking into account the daily price volatility, the plugin automatically adjusts the commission values within the pool to better align with changing market conditions.
On-chain farmings: This plugin enables the effective utilization of farmings for concentrated liquidity purposes.
The CL farms (v3 farms) have no deposit fees associated! They will instead just print xBASE for rewards as users can already collect 75% of the fees generated , while the other 25% go to the protocol to allow for the Algebra tech and a real yield xBASE vault that receives ETH rewards!
These are the available Concentrated Liquidity farms:
BASE/ETH
ETH/USDbC
ETH/USDC
USDbC/USDC
cbETH/ETH
Analytics
Last updated
