Liquifi (LQF)

What is Liquifi

Liquifi is a protocol for a decentralized digital asset exchange. It is based on liquidity pool principle.

Liquifi maintains pools for various digital asset pairs that are used to perform swap operations automatically using Liquifi automatic market maker (AMM) model. Anybody can invest liquidity (digital assets) into the pools and earn pool fees from swap operations.

Liquifi is also an open community of developers, investors, liquidity providers interested in proper operation and evolution of the protocol. Together they form a decentralized autonomous organization (DAO) backed by Liquifi governance smart contracts. DAO is the only entity that can influence the protocol parameters.

What advantages does Liquifi have over the other DEXes?

First, Liquifi has an advanced automatic market maker (AMM) model that is built on the classic constant product model with a new smooth liquidity flow feature. This feature allows to get better exchange rates than with the classic model, especially for large deals. This is achieved by extending swap operations over a given time period. Thus, arbitrage trades can occur in parallel with the large deal, providing liquidity to make the final price better.

Second, Liquifi is not vulnerable to frontrunning and transaction reordering problems because arbitrageurs do not compete to place their transactions in front of the others. Instead, arbitrageurs can implement more complex strategies when choosing a proper time instant to perform their trades.

Last, but not the least, Liquifi from the very beginning follows decentralized governance and fair launch principles.