Impermanent Loss is the scourge of liquidity providers and must be dealt with to make decentralized finance a sustainable solution.
The Concentration-Asymmetric Liquidity Model (CALM) is designed to make providing liquidity sustainably profitable.
The main innovation is that CALM treats trades that increase impermanent loss differently from those that reduce it, thereby reducing the negative impact of impermanent loss.
The result is an algorithm that is efficient to implement, and (most importantly) vastly outperforms traditional methods in terms of bottom-line performance for liquidity providers.
DefiPlaza's CALM algorithm is live on Radix.
DefiPlaza on Radix is specifically designed to reduce the risk of Impermanent Loss and help make DeFi sustainably profitable, by treating trades that increase Impermanent Loss differently from trades that reduce Impermanent Loss.
The StablePlaza pool is a 4-token pool of stable tokens on Ethereum and takes the same highly optimized approach as the DefiPlaza pool to provide cheaper trades, with an even lower transaction fee of 0.03% of the value traded. Thanks to the stablecoins, Impermanent Loss is minimized.
Past
Going back to the fundamentals of swapping tokens, DefiPlaza was deployed as the most cost-effective DEX on Ethereum. With 120 trading pairs, the lowest gas costs and very low fees it has since brought the best deal in DeFi to our users.
Users of the 1inch aggregator can now use DefiPlaza to swap with even lower fees. The 1inch Network unites decentralized protocols whose synergy enables the most lucrative, fastest and protected operations in the DeFi space.
Based on requests from the community and with the help of a professional designer, the website and trading app are redesigned to the highest standard. A clean mix of modern DeFi design with ancient Greek elements will give the project a recognisable visual brand.
Next to supporting MetaMask, we will launch our implementation of the popular WalletConnect standard. Enabling more wallets for our users both on desktop and mobile.
Taking the same gas saving engineering approach as DefiPlaza, we will deploy a multi-token exchange based around swapping stable tokens. This will take the record-low costs of DefiPlaza and combine them with dedicated stable coin bonding curves.
Future
Before launching a DEX on the Radix DLT after the Babylon launch, a bridge will be created to make it possible to move DFP2 from Ethereum to Radix (and vice versa soon after launch).
The RadixPlaza DEX is specifically designed to reduce the risk of Impermanent Loss and help make DeFi sustainably profitable, by treating trades that increase Impermanent Loss differently from trades that reduce Impermanent Loss.
LaunchPlaza helps project founders on Radix launch tokens, including free staking, burning, and edit features.
Our focus is on scaling CALM and LaunchPlaza on Radix.