Zeus Swap on Metis- An introduction
The advent of blockchain technology has changed the way people transact, decentralized finance (DEFI) for short is the control of owners funds by the individual themselves instead of third parties like the traditional banks.
In DEFI, funds are kept in the custody of individual owner either on Ledger wallets or on wallets like Trustwallet, metamask and the likes, also in DEFI there’s no weekends and there’s no public holidays.
In order to ensure fluid trading of assets there’s need for a decentralized protocol where individuals can trade assets that’s where Zeus swap comes in.
What is Zeus swap?
Zeus swap is a decentralized exchange built on the Metis Andromeda (the fastest, cheapest and most technologically advanced layer2 on the ethereum network), although it’s not a community verified project as at the time of writing this piece but plans are in place to that effect.
What do they do?
In Q4 of 2022, Zeus Swap team announced, the testing of its concentrated liquidity DEX in which their community members participated and the participating members got the “Olympian” tag on their Discord server.
Zeus swap uses the concentrated liquidity model of DEFI, Concentrating liquidity means a liquidity provider isn’t inefficiently spreading liquidity uniformly at all prices. Instead, assets are allocated at specific, custom price ranges where price action is active. Like other models, all trading fees collected within a given custom trade range, captured as non-fungible LP tokens, are split to all suppliers proportional to the number of assets provided. With this flexibility, liquidity providers can, just like they would on a conventional exchange, supply token assets to a pool at varied ranges that will suit their market-making tactics and appetite. Through algorithmic yield optimization trading techniques, reward maximizing plans may also be put into practice. The lower amount of assets needed by LPs to achieve low slippage leads to greater capital efficiency and greater liquidity for traders. The finest part of this situation, however, is the higher compensation for liquidity providers, which reflect the greater efficiency while also reducing the effects of temporary loss.
What features will be available to Metis DeFi degens?
· Users of Zeus Swap will be able to define a certain price range to increase liquidity.
· X-Y pool will go live first.
Users can employ range order trading, which is very comparable to limit order trading on a centralized exchange, using CLMM’s price range settings to satisfy their diverse trading demands
