2026-01-09 09:26:22

The DAMM mechanism on the Sui chain is quite interesting, essentially an evolutionary upgrade of the Uniswap V2 model. Compared to traditional AMMs, it focuses on trading protection and capital efficiency, with specialized optimizations for new tokens, high-volatility assets, and meme coins, allowing these high-risk assets to circulate in a healthier environment.

Structurally, it combines several key features: an active defense mechanism to avoid slippage risk, better profit distribution for LPs, and effective concentration of liquidity within the most active trading price ranges. This combination not only enhances market trading safety but also significantly improves the capital utilization efficiency for liquidity providers. It’s a promising innovation direction for the DEX ecosystem.

SUI-1,07%

UNI-1,67%

MEME-1,88%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

12 Likes

Reward
12
5
Repost
Share

Comment

0/400

AirdropHunter007

· 13h ago

This set of defense mechanisms is indeed interesting for the meme coin scene, but can slippage protection really hold up against large transactions?

View OriginalReply0

AirdropNinja

· 01-11 22:08

DAMM sounds pretty good, but I don't know how it actually performs in practice. LP yield distribution optimization? Feels like just on paper, let's wait and see. Special optimization for meme coins? This way, the little guys might get even more thoroughly cut, haha. I believe in slippage defense; after all, V2 is indeed a bit outrageous. The tactic of concentrated liquidity has been played out by Uni a long time ago. Can Sui come up with something new? I've heard the term capital efficiency too many times; still, real data in hard cash speaks louder. Never used Sui's DEX, has anyone really made money on it? Talking all fancy, if the security was really that awesome, why are there still so many projects going to zero?

View OriginalReply0

MerkleTreeHugger

· 01-09 09:56

Really want to see DAMM's actual performance in meme coins, more reliable than just the on-paper data.

View OriginalReply0

ruggedSoBadLMAO

· 01-09 09:53

Damm sounds pretty good, but whether it can truly avoid slippage in practice depends on the implementation. --- Sui is once again competing fiercely; the v2 upgrade version definitely has some substance. --- Honestly, how much can LP yields really improve? It depends on actual trading volume. --- Optimizing meme coin events? A bit harsh, just worried it might become a new hotbed for slippage. --- The concentrated liquidity setup has been around for a while; is Sui truly innovative or just packaging? --- Feels like I should try it myself; the on-paper parameters sound appealing. --- Are the defense mechanisms reliable, or is it just another overhyped thing that ends up falling flat? --- No praise, no criticism—Sui definitely hasn't given up on DEXs. --- High-volatility tokens can survive here, but what about the risks? Are they diversified?

View OriginalReply0

TideReceder

· 01-09 09:50

Slippage protection is indeed necessary; I’ve been squeezed to the point of vomiting before. --- Optimizing the meme coin trading environment? I think it still depends on the actual data. --- Improving capital efficiency sounds good, but I’m just worried it’s all just on paper. --- Hey, the V2 upgrade version is finally here. It should have been done like this a long time ago. --- Will LP yields really be better, or is it just another marketing gimmick... --- Focusing on optimizing high-risk assets like meme coins is a way to address the pain points. --- The term "combo punch" is a bit cliché haha, but the idea is indeed worth considering.

View OriginalReply0