Orbs Joins the CLAMM Ecosystem: A Game-Changing Duo for DEXes

Shawn O'Donaghue
Shawn O'Donaghue

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9 days ago

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Orbs is excited to announce that it is joining the CLAMM (Concentrated Liquidity Automated Market Maker) ecosystem of Algebra, an innovative collective of projects at the forefront of developing the technology stack required for Decentralized Exchange Automated Market Makers (DEX AMMs). The ecosystem represents a collaborative effort to spearhead advancements and standardizations within the DeFi space, enabling a more robust and efficient infrastructure for decentralized exchanges.

Algebra Finance is recognized as a leading DEX engine that enables projects to incorporate Concentrated Liquidity technology, along with a suite of other revolutionary features. These features include dynamic fees, built-in farming capabilities, and more, all designed to enhance the functionality and efficiency of DEXs. Algebra's technology has already been integrated into various decentralized exchanges across blockchain networks. These exchanges include Camelot, THENA, QuickSwap, StellaSwap, Zyberswap, Lynex, Swapsicle, Synthswap, Hercules, Swapr, and others. Through these integrations, Algebra has contributed to increasing trading volumes and improving capital efficiency across the board. For more detailed information about Algebra Finance and its offerings, interested parties are encouraged to visit their official website at algebra.finance.

Recently, Algebra has launched the first-ever V4 platform – Integral, offering a Modular-based AMM tailored for DEXes. Its architecture divides a DEX setup into two parts: a core codebase & customizable plugins, or hooks as in Uniswap V4. This design facilitates seamless DEX updates, reduces gas costs by up to 22%, addresses liquidity migration issues, minimizes trading disruption, and more. The brand-new V4 AMM is available via Kim Protocol on Mode & Swapsicle on Mantle and Telos.

The strategic move aims to serve as a platform for the collective advancement and integration of each participant's respective technologies into DEX AMMs. The collaborative effort will focus on fostering relationships, coordinating marketing efforts, enhancing community collaboration, expanding networks, and more. By leveraging the strengths and resources of the two projects, Orbs and Algebra are poised to drive significant innovation and growth within the DeFi sector, ultimately benefiting all participants and the broader DeFi community.

The collaboration between Algebra and Orbs is set to redefine the DEX ecosystem for AMMs and ordinary traders. Leveraging Algebra's DEX Engine, powered by cutting-edge V3 & V4 AMM codebases, numerous DEXes are already experiencing enhanced trading capabilities. But with Orbs, the efficiency will increase.

Orbs is developing Liquidity Hub, an on chain liquidity aggregator, seeking to achieve the best price for trades. Liquidity Hub is in production on QuickSwap (Polygon & zkEVM), THENA on BNB, and most recently, IntentX on Base. The two products between Algebra and Orbs synergize with each other.

The list of mutual DEXes leveraging the Algebra CLAMM and Orbs' Layer includes QuickSwap, THENA, SpiritSwap, Lynex, Fenix, and SwapX.

How Liquidity Hub Works

Liquidity Hub is a layer 3 (L3) infrastructure software that provides an optimization layer above the AMM. This technology taps external liquidity for better price quotes and lower price impact.

Instead of the typical swap that searches for the best route within the DEX's limited liquidity pools, Liquidity Hub enhances this process by utilizing additional liquidity sources:

  • On-chain solver auction: Third-party solvers who compete to fill swaps using on-chain liquidity like AMM pools or their own private inventory.
  • Decentralized orders via API: Decentralized orders are accessible using API, enabling institutional/professional traders, such as market makers, to submit bids and compete to fill swaps.

lh infographic

Liquidity Hub allows DEXs to attempt to execute trades without going through the AMM and experiencing price impact. If the layer cannot execute the trade at a better price than the AMM, the transaction will return to the AMM contract and execute as usual.

Therefore, Liquidity Hub can only improve a trader's experience. If Liquidity Hub isn't competitive, meaning it would only execute at a worse price for the user or can't execute at all, the swap will be routed through the AMM contract directly as usual.

About Orbs

Orbs is a “Layer-3” public blockchain infrastructure project powered by PoS, pioneering on-chain innovation since 2017.

Orbs is set up as a separate execution layer between L1/L2 solutions and the application layer, as part of a tiered blockchain stack, enhancing the capabilities of smart contracts and powering protocols such as dLIMIT, dTWAP, and Liquidity Hub.

The project's core team consists of more than thirty dedicated contributors spanning from Tel Aviv, London, New York, Tokyo, and Seoul.

For more information, please visit www.orbs.com, or join our community at: Telegram: https://t.me/OrbsNetwork Twitter: https://twitter.com/orbs_network

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