Liquidity Book vs Uniswap V3

Both Liquidity Book and Uniswap V3 are concentrated liquidity AMMs with some subtle differences:

Price ranges are discretized into bins instead of ticks
Bin steps (or tick sizes) can be more than 1 basis point
Bins use constant sum invariant instead of constant product
Liquidity is aggregated vertically instead of horizontally
Liquidity positions are fungible
Liquidity positions are not restricted to uniform distribution across its price range; they can be distributed in any shape desired
Swap fees have fixed + variable pricing, which allows the AMM to charge more fees when market experiences high volatility.

Last updated 7 months ago

Both Liquidity Book and Uniswap V3 are concentrated liquidity AMMs with some subtle differences:

Price ranges are discretized into bins instead of ticks
Bin steps (or tick sizes) can be more than 1 basis point
Bins use constant sum invariant instead of constant product
Liquidity is aggregated vertically instead of horizontally
Liquidity positions are fungible
Liquidity positions are not restricted to uniform distribution across its price range; they can be distributed in any shape desired
Swap fees have fixed + variable pricing, which allows the AMM to charge more fees when market experiences high volatility.

Last updated 7 months ago