Dopex is proud to present the CLAMM MVP.
26 Sep 2023, 18:37
Dopex is proud to present the CLAMM MVP 👑
🚀Launching with $ARB / $USDC, LPs can deposit liquidity into ticks to collect premiums, while earning @Uniswap V3 trading fees.
Option Buyers can now close ITM positions at any time. Splendid!
👉Give it a spin:https://t.co/RwNgawRICF
Disclaimer
As this is just the public testing phase, please only use funds you are willing to lose. The product will be iterated on based on your valuable feedback.
💁♂️What is the CLAMM?
CLAMM is the first half of the Dopex v2 upgrade which aims to tap into a broader market of liquidity, simplify the LP process, and give more flexibility to our option buyers. CLAMM uses v3 AMM positions such as Uniswap or @CamelotDEX to achieve this, helping LPs earn additional premiums on top of their meager 0.05% fees from trading volume.
👉You can learn more about CLAMM on our latest blog post:https://t.co/mphrXivpKd
🤷♂️How does CLAMM work?
For option writers:
🔸Deposit the base asset for calls or the quote asset for puts.
🔸Select a strike price.
🔸Once deposited, liquidity will be allocated to the CLAMM tick corresponding to their chosen strike price.
If the position is taken by option buyers, the liquidity will be removed from the DEX and the option writers earn premiums. If not, liquidity remains on the DEX, allowing it to continue earning trading fees.
For option buyers:
🔸Choose a market (e.g., ARB/USDC).
🔸Decide on a side (call or put).
🔸Select a strike price.
🔸Pick an expiration date.
🔸Close their In-The-Money (ITM) positions at any time.
👉Courtesy of @chutoro_au , who created this detailed CLAMM walkthrough for your reading pleasure:https://t.co/mIVhkfcpiy
💡How is the MVP limited compared to its full release?
🔹LPs can only deposit liquidity into a single tick (e.g. $0.78 ARB/USDC).
🔹Option buyers MUST manually exercise their options to earn settlement.
🔹Limited expiration dates (20m to 24h).
🔹Options AMM is missing (which will allow buyers to create multi-leg strategies that combine multiple options with different parameters in a single transaction).
🙌Please give us your Feedback
As a tester we ask you, nay, beg you, to play around on the MVP and see what breaks and what doesn’t. Your feedback is valuable and will be used to iterate on the product.
❗Please remember that this is just the public testing phase, things can and will break! Please proceed with caution and only use funds you are willing to lose.
CLAMMeenis!💎