OP Stack

Velodrome Slipstream has brought concentrated liquidity to the MetaDEX model, massively increasing volumes.

Slipstream improves on UniV3 style AMMs with wider tick spacing (less rebalancing) and a consistent stream of rewards (less volatility).

Read more below. 👇

Concentrated liquidity pools play a crucial role in enabling low slippage onchain trades.

By maintaining liquidity around a narrow price range, they ensure that trades can be executed at predictable prices even with larger size.

The central trading and liquidity marketplace on @optimismFND

velodrome.finance 


However, during times of high volatility, prices can quickly move into ranges where lower liquidity is available, leading to increased slippage in critical moments.

Slipstream aims to mitigate this in three ways:
• Wider tick spacing than UniV3
• Continuous VELO incentives to active tick
• Full-range pools as back-up