GN Crypto enthusiasts! 🤑
🕯 The first DEX with concentrated liquidity on TON!
💎 Currently, the infrastructure for decentralized exchanges (DEX) on TON is developing, and recently a platform has emerged — TONCO, which offers concentrated liquidity.
🔍 What is it?
🔑 Key aspects of concentrated liquidity:
✅ Managed price range:
LPs can specify, for example, that they only want to provide liquidity in the price range of $1000 to $1200. Outside of this range, their liquidity is not used, meaning they do not earn fees.
✅ Increased capital efficiency:
Since assets are concentrated in a narrower range, the provided liquidity becomes "deeper" within the chosen price interval. This reduces slippage and improves the trading experience for users.
✅ More income for LPs:
Concentrated liquidity allows LPs to earn more in fees, as their capital is used more efficiently in popular price ranges.
➖ Disadvantages of concentrated liquidity:
— If the market price moves outside of the specified range, the LP's liquidity becomes inactive, and their assets can be fully converted into one of the tokens in the pair (risk of impermanent loss).
— LPs need to actively manage their positions, which may require a deeper understanding of the market.
📌 Example:
💸 Yield in Ethereum (on Uniswap v3)
Ethereum is a leader in decentralized finance. Hundreds of liquidity pools on Uniswap v3 allow you to earn from fees.
💰 Key figures:
With a trading volume of $26.74 billion, liquidity providers earned $76.43 million just from fees in July 2024.
💎 What about concentrated liquidity on TON?
The TONCO team has launched farming based on the USDT/TON pool with additional rewards for LPs.
🆒 TONCO is the first to bring this technology to the TON blockchain. Traders benefit from deeper market depth, improving trade execution and reducing price slippage.
❓ Would you be interested in learning about specific cases of supplying concentrated liquidity on 🦄 Uniswap V3 vs ❤️TON? If so, leave a 👍!
Yours, @PilotDAO 😉
🇷🇺@PilotDAO in Ru | Trading on 🔀 BingX | ☝️ Bybit
🕯 The first DEX with concentrated liquidity on TON!
💎 Currently, the infrastructure for decentralized exchanges (DEX) on TON is developing, and recently a platform has emerged — TONCO, which offers concentrated liquidity.
🔍 What is it?
Concentrated liquidity in cryptocurrency is a concept used in decentralized finance (DeFi) platforms, especially on automated market makers (AMM) like Uniswap v3. It allows liquidity providers (LP) to select the price ranges in which they want to provide liquidity, rather than distributing their assets evenly across the entire price range.
🔑 Key aspects of concentrated liquidity:
✅ Managed price range:
LPs can specify, for example, that they only want to provide liquidity in the price range of $1000 to $1200. Outside of this range, their liquidity is not used, meaning they do not earn fees.
✅ Increased capital efficiency:
Since assets are concentrated in a narrower range, the provided liquidity becomes "deeper" within the chosen price interval. This reduces slippage and improves the trading experience for users.
✅ More income for LPs:
Concentrated liquidity allows LPs to earn more in fees, as their capital is used more efficiently in popular price ranges.
➖ Disadvantages of concentrated liquidity:
— If the market price moves outside of the specified range, the LP's liquidity becomes inactive, and their assets can be fully converted into one of the tokens in the pair (risk of impermanent loss).
— LPs need to actively manage their positions, which may require a deeper understanding of the market.
📌 Example:
On
Uniswap v3,
if you want to add liquidity to the ETH/USDT pair, instead of spreading the liquidity across the entire range (from $0 to infinity), you set a range of $3000–$3200. If the price of ETH is within this range, you earn fees. If the price moves outside this range, your assets are locked in either ETH or USDT until the price returns to the set range
💸 Yield in Ethereum (on Uniswap v3)
Ethereum is a leader in decentralized finance. Hundreds of liquidity pools on Uniswap v3 allow you to earn from fees.
💰 Key figures:
With a trading volume of $26.74 billion, liquidity providers earned $76.43 million just from fees in July 2024.
💎 What about concentrated liquidity on TON?
The TONCO team has launched farming based on the USDT/TON pool with additional rewards for LPs.
🆒 TONCO is the first to bring this technology to the TON blockchain. Traders benefit from deeper market depth, improving trade execution and reducing price slippage.
The
TONCO
technology increases capital efficiency by up to 95% compared to traditional AMM V2, making it one of the most advanced DEXs on TON.
❓ Would you be interested in learning about specific cases of supplying concentrated liquidity on 🦄 Uniswap V3 vs ❤️TON? If so, leave a 👍!
Yours, @PilotDAO 😉
🇷🇺@PilotDAO in Ru | Trading on 🔀 BingX | ☝️ Bybit