Cyclos
Decentralized trading unleashed.
The only concentrated liquidity market maker on Solana. Cyclos is an automated market maker that brings Uniswap V3-style concentrated liquidity to Solana.
Orderbooks instead of liquidity pools
for swaps: A swap operation consists of
a buy/sell order and a settle instruction
combined in a single transaction. Instead
of trading against fragmented liquidity
pools, traders gain access to ecosystem
wide liquidity and order flow.
• Algorithmic liquidity: Raydium and
Bonfida bots have fungible liquidity pools
similar to CPMMs. Trades don’t happen
against them, rather the pool liquidity
is used for placing Serum orders. This
opens the door for algorithmic trading
strategies. Raydium prices orders accord-
ing to the Fibonacci sequence, while Bon-
fida lets users pick from various bot strate-
gies like RSI and MACD.
• Profits and rebates over fees: Since
trades happen against Serum, market
makers cannot charge a direct fee for
swaps. Rather the market maker earns
from the bid-ask spread [5] and Serum’s
maker rebate.This is passed to the liquid-
ity providers in proportion of their share.
• Discrete instead of continuous liquid-
ity: The constant product formula forms
a continuous curve. Whereas orderbooks
have discrete minimum increments called
ticks.
• Need of an off-chain crank: CPMMs pro-
vide passive infinite liquidity along the
x.y = k curve. But orders on a CLOB
need to be actively refreshed. Such mar-
ket makers can be viewed as trading bots.
• Orderbooks make limit orders possible:
SOLONIUM.IO <--- Click Here
