HomePRESS RELEASEdHEDGE Integrates Uniswap v3 To Improve Capital Efficiency For Asset Managers By...

dHEDGE Integrates Uniswap v3 To Improve Capital Efficiency For Asset Managers By 4000 Times

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As part of the dHEDGE Aurora release, the multi-chain digital asset management platform dHEDGE, is integrating the Uniswap v3 into its ecosystem of trading protocols. Famed for its pairing of investors with top asset management experts, this intregation with Uniswap v3 opens up access to a range of new liquidity provision strategies, thus boosting capital efficiency for asset managers on its streamlined native platform.

These are times when cryptocurrencies are fast becoming recognized as legitimate investment vehicles in mainstream circles. And even though the concept has seen massive adoption, especially among the younger demographics, there are still a lot of investors with inadequate financial literacy or investing experience. Therefore, investing in digital assets may seem daunting and risky without a guiding hand or a seamless platform to manage assets. Interestingly, that is exactly where dHEDGE comes in.

dHEDGE’s platform offers a decentralized protocol for asset management built on Ethereum, enhancing its user experience by integrating Uniswap into its platform through the Polygon and Optimism networks. Asset managers can trade, lend, borrow, provide liquidity, and earn yields on assets through integrated protocols such as Synthetix, 1inch, AAVE, Sushiswap, Balancer, and Quickswap on the platform. As a non-custodial application, dHEDGE empowers users to retain asset control while also offering a risk-adjusted manager ranking to simplify investor partnerships. The platform assigns managers with a Sortino ratio rating, assisting investors to select managers that suit their needs.

About his thoughts on the integration, co-founder of dHEDGE Ermin Nurovic says, “We are thrilled to add Uniswap to the platform our users already know and love.” He then added:

“Through supporting the interface and experience for all our users, we offer a more varied heavy-duty platform that seamlessly integrates the needs of both crypto novices and our community of skilled asset managers.”

Features of Uniswap v3

The Uniswap v3 boasts of being the most flexible and efficient automated market maker (AMM) ever designed fro the following reasons;

dHEDGE will be enabling inexperienced investors and prolific asset managers with tools for strategizing on investments and easily managing complex protocols. 

1. Concentrated Liquidity: This ensures that individual liquidity pools (LPs) have granular control over what price ranges their capital is allocated to. Individual positions are aggregated together into a single pool, forming one combined curve for users to trade against

2. Multiple Fee Tiers: ThIs allows LPs to get appropriate compensation for the varying degrees of risk they take.

3. Capital Efficiency: LPs can provide liquidity with up to 4000x capital efficiency as opposed to that available in previous Uniswap versions. This gives the opportunity of earning higher returns on capital.Capital efficiency paves the way for low-slippage trade execution that can surpass both centralized exchanges and stablecoin-focused AMMs

4. Offers Real-time Prices: V3 oracles are capable of providing time-weighted average prices (TWAPs) on demand for any period within the last ~9 days. This removes the need for integrators to checkpoint historical values.

5. Cheap: Despite all the improvements on the design, the gas cost of v3 swaps on Ethereum mainnet is still considerably cheaper than v2. 

Conclusively, this integration provides additional yield sources via Uniswap’s v3 strategies and opens additional trading avenues for asset managers to utilize for investors. These strategies provide added options for managers to provide liquidity into further diversifying their protocol offering within the added permissions and guardrails of Uniswap v3.

About dHEDGE: 

Launched in 2020, dHEDGE is a platform offering social asset management on the blockchain. Built on Ethereum, the platform allows users to hold and trade assets by utilizing different protocols, allowing users the ability to run liquidity across Ethereum, Polygon, and Optimism. Created to simplify crypto investment for beginners and experts, investors can partner with Sortino-ratio-rated asset managers to assist in their crypto journey. Contrary to competitors, dHEDGE offers automated stablecoin yield farming through its native token (dUSD), providing holders with returns generated from automated allocations with no currency risk and compounded incentives. For more information, visit https://www.dhedge.org/.

DISCLAIMER: This is a sponsored post. Binbits does not endorse any content or product on this page. While we aim to provide you with all obtainable important information, readers should do their research before taking any actions related to the company and carry full responsibility for their decisions.
mayowa adebajo
mayowa adebajo
Mayowa Adebajo is a fintech enthusiast with a decade long experience writing news stories and creating content generally. When he's not writing, he's either talking politics or discussing sports.

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