Uniswap V3 DN Strategy (Coming Soon)
Overview
Uniswap V3 allows LPs to provide liquidity with up to 4000x capital efficiency, earning higher returns on their capital. However, because it enables users to provide liquidity at a certain price range, once the price deviates from that range, users tend to experience a higher impermanent loss risk than other AMM DEX models. Because of this feature, LPs on Uniswap V3 requires frequent adjustment of price ranges.
After we are done with the Uniswap V3 Liquidity Manager (Coming Soon) Vault, our plans are to further develop it into a Uniswap V3 Market Neutral Strategy Vault.
Through the Uniswap V3 Market Neutral Strategy Vault, users can
Provide liquidity at an optimal price range
Borrow the volatile asset that goes into the liquidity pair to get market neutral exposure
Automatically adjust price ranges and rebalances assets
The effect of borrowing an asset from a liquidity pair is equal to that of shorting that asset.
Coming Soon!
More information about the details are coming soon as we develop further into our strategy vaults!
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