Builder Project Name: WoodSwap
Submission Date: 28 Oct 2024
Team behind(optional): Jimmy Yin, CEO,
Sector: DEFI/DEX
Links to Deck / Video / Images: Website: https://woodswap.org/
Description:
WoodSwap, a V3 DEX, utilizes the innovative DLAMM (Discretized-Liquidity-AMM) to significantly enhance capital efficiency for LPs. This system simplifies liquidity management, making it more accessible and manageable for LPs.
Product:
WoodSwap, powered by the DLAMM, offers swap capabilities and on-chain limit orders. It features a dual farming system, allowing LPs to earn rewards by contributing to incentivized pools. Rewards are proportionate to each LP’s share of the pool’s total liquidity. This system is adaptable, supporting incentives across various price ranges, tailored to project-specific needs. This flexibility is crucial for managing the risks of impermanent loss, particularly in broader price intervals, by potentially offering larger incentives to enhance profitability for LPs in those ranges.
The DL-AMM algorithm introduces a novel discrete concentrated liquidity model, enhancing traditional market-making by enabling precise liquidity allocation at specific fixed prices, unlike Uniswap V3’s range-based approach. This allows for more targeted and efficient liquidity management.
Mission:
WoodSwap’s mission is to revolutionize liquidity provision within decentralized finance by maximizing capital efficiency and simplifying liquidity management for LPs. Through the use of its innovative DLAMM technology, WoodSwap aims to empower LPs with more precise and efficient tools, enhancing profitability while reducing risks associated with impermanent loss.
Value added to Rootstock:
WoodSwap could enhance the ecosystem by integrating its DLAMM technology, boosting liquidity and trading efficiency. Our dual farming feature simplifies liquidity incentives for projects, removing the need for a separate rewards system. This integration streamlines resource use and promotes a more cohesive, efficient ecosystem.
General traction
WoodSwap is still in its early stages, yet we have successfully deployed core functionalities based on our DLAMM technology. We have actively participated in ecosystem events, achieving a TVL of $1 million during our collaboration with Jumper, all through organic growth. This indicates WoodSwap’s potential to carve out a significant niche in the DeFi sector of the ecosystem.
Conclusion:
We could leverage our innovative DLAMM technology to collaborate with ecosystem projects, enhancing their liquidity bootstrapping efforts. This approach not only generates higher returns for users but also reduces incentive costs for projects, creating a win-win situation. Our commitment to improving the capital efficiency of the ecosystem, combined with our proven track record of technological innovation, establishes us as a valuable member of the community.