Advanced Modes
Advanced composable strategy modes.
Last updated
Advanced composable strategy modes.
Last updated
A51 introduces the innovative concept of "strategy modes," allowing liquidity providers (LPs) to enhance their base liquidity provision experience by selecting from a range of pre-configured automation hooks. The protocol's architecture is designed to be both scalable and adaptable, accommodating new strategy hooks that may be introduced in the future based on community proposals.
Here are some of the advanced modes currently being processed:
Exit Preference: LPs can specify a token price at which their liquidity will be automatically withdrawn.
Reverse Liquidation: Allows setting a swap target based on a specific pool ratio for the converted asset.
Smart Exit: Provides options for setting a sell target or stop loss on the reverse liquidated asset.
Exponential Liquidity Orders: Enables the distribution of liquidity into multiple one-tick-wide positions, arranged in either ascending or descending order.
Hedging: LPs can hedge their positions through borrowing or options trading.
The flexibility offered by these strategy modes encourages strategy builders to experiment within the A51, fostering the development of optimal yield strategies from which the community can both benefit and learn. This approach transforms liquidity provision into a dynamic platform for experimenting with and crafting unique financial decision-making sequences.
For more in-depth information on these strategy modes, you can learn more here: