A high ETH gas fee irks every trader, but Balancer Labs have presented an apt solution for that. Balancer V2, the latest AMM, will help traders experience minimal gas fees and high capital efficiency. The year-long wait proved worthwhile as the launch took Balancer to the fourth rank in the DeFi exchange domain.
To offer reduced gas fees, Balancer V2 will moderate every pool through a single vault. The update also proposes a flash loan fee to restructure the protocol costs and improve price oracles. Additionally, Balancer V2 will offer features like:
- Liquidity migration from V1
- Live branding
- Improved liquidity and trading interface
- Gauntlet-backed dynamic fee pools
- Community Multisig
Balance V2 Released with Low Fee and High Security
Balancer V1 provided esteemed trading experience too, but its security concerns kept rising. The new update will only send the final net token amount. This results in reducing the gas fees while improving the overall security of the platform.
The update will keep the weight pool functionality while adding the option to use stable pools as well. Balancer V2 is also offering smart asset managers additional smart contracts. The pools nominate the contracts, resulting in increased yields. To offer such esteemed proceedings, Balancer joined hands with Gauntlet.
The partnership also proposes dynamic fee pools developed via rigorous methods. The methodology accounted for market volatility and additional factors to offer precise fee predictions. If executed properly, it will result in enhanced trading fees and higher APYs for liquidity providers.
Balancer Labs put a statement that the update is expected to provide the best prices like the V1. Balancer V2’s new Protocol Vault will certainly result in low gas costs and enhanced pricing models.
Post-release Balancer also offered an overview of the update. As mentioned, V2 will allow traders to migrate liquidity from the previous version too. This way, the existing clientele can choose to use the existing version as per their desire.
Launch Partners behind V2
Here is a list of launch partners behind Balancer V2:
- The BGP (Balancer-Gnosis-Protocol)
- Aave
- Element Finance
- Enzyme Finance
- Gyroscope
- Ocean Protocol
- PowerPool
- Techemy Capital
Every partner expressed their delight and gratitude towards the launch. Most of them expect the update to bring real change in the industry as well.
After a year-long wait, Balancer Labs released version 2 of the esteemed AMM. Named Balancer V2, the AMM will help users trade using minimal ETH gas fees. The update also offers additional benefits like liquidity migration, enhanced security, and much more. Balancer joined hands with multiple renowned names to deliver the update, and the move even took Balancer to the fourth highest-rated DeFi exchange. Given the update’s market buzz, it will help Balancer and the community for a long time.