0x Project integrates Liquidity Book

Liquidity Book has been integrated into 0x Project swap API Per a recent announcement. The integration comes with another partner, Matcha XYZ aggregator, to serve a whole new set of benefits. This includes offering swaps at a lower cost and with zero slippage dedicatedly to traders.

However, the services and their benefits are limited to traders residing on two networks, namely Arbitrum and Avalanche. Traders can expect the same to extend to the BNB Chain in the days to come.

The development follows the launch of Liquidity Book V2.1. Specifically, the new version of Liquidity Book went live on April 07, 2023, with the aim of pioneering the future of AMMs. While a detailed roadmap for achieving this structure is unavailable, the community can be assured that the team is willing to achieve the goal by deploying a decentralized exchange that is capital efficient in the DeFi sphere.

Benefits that V2.1 brings along with it are automated liquidity, a reduction in gas costs by 30% to 40%, the introduction of a permissionless pool, and migration from the V2 pool, among many others.

The first phase covered permissionless pools, auto pools, and V2.1 pools. This was followed by Phase 2, where sJOE went live on BNB and Arbitrum. There is no word about sJOE going live on other networks as of now. Finally, the third phase saw the introduction of Limit Order and Autopool Farms.

All these remain a point of reference since most of them made it earlier or later than the said phase. Automated liquidity strategies via autopools attempt to concentrate liquidity around the bin that is active at a time when the low volatility is playing around. 

Black Box plays a major role here, and It basically enables the off-chain scripts to execute autopool strategies. These can be updated by traders by basing them on the current situation. Needless to say, it can be optimized per the market conditions.

sJOE on Avalanche empowers the stakes on Avalanche to claim a portion of fees, probably pitching a slight increase that is shared with sJOE when the pools scale up. sJOE is on Avalanche, but traders can expect it to go live on BNB and Arbitrum at a later date.

Native Limit Order takes charge of executing transactions for traders based on a target price. Maker limit order allows the community to swap for free. At the same time, they can earn trading fees by leveraging the potential of the Liquidity Book pool.0x Project integrating Liquidity Book unlocks better swaps for traders. This goes on to unlock low-cost and zero-slippage swaps for traders, especially on Avalanche and Arbitrum.

Trevor Holman

Trevor Holman follows crypto industry since 2011. He joined CryptoNewsZ as a news writer and he provides technical analysis pieces and current market data. He is also an avid trader. In his free time, he loves to explore unexplored places.

Related Articles

Back to top button