MetisDAO

Introduction

Solidly is a cutting-edge concentrated liquidity DEX. It has achieved significant improvements over existing solutions:

1. Concentrated Liquidity

Solidly offers a concentrated liquidity AMM, which increases capital efficiency in comparison to traditional AMMs by factors of thousands. The intuitive UX allows users to provide liquidity in preset ranges such as “Narrow”, “Balanced”, “Wide” and “Full Range”. Expert users can also provide their liquidity in custom ranges, in whichever liquidity shape they desire. Talks are being held with several ALMs who will incorporate Solidly into their automated management suites.

2. JIT Protection

A long-standing issue of CLAMM Dexes such as Uniswap V3 has been so-called “JIT liquidity”. It’s the predatory practice of big funds providing liquidity in 2-tick ranges, extracting all fees from honest and loyal LPs. Solidly completely solved this issue with its innovative in-house merkle processor, which automatically filters out any JIT attacks as they occur.

3. Gas Savings

One of the big features of Solidly is its gas savings against existing DEX solutions. Solidly has achieved up to 42% swap gas savings, and up to 60% for mints & burns (rebalancing) vs Uniswap V3. This allowed it to achieve highest capital efficiency of any CLAMM DEX on mainnet as of today. It may be less important on Metis, but it’s still a factor. Whenever L1 gas spikes, so does L2, and that’s when the competitive factor increases even more.

4. IL Reduction

An issue as old as DEXes itself: IL. Many retail users are wary of providing liquidity because of the high IL they incurr on traditional solutions. Solidly employs a variable & automatic pool fee mechanism, which frontruns toxic CEX flow before it arrives on-chain. This leads to higher fees for LPs and reduced IL due to toxic flow. In a showcase in October it provably demonstrated on-chain to even front-run veteran MEV bots.

Uniqueness factor

Unique features of Solidly:

1. Lowest gas CLAMM DEX in the world, proven on-chain and via various test suites.

2. The Solidly Flywheel Solidly emits $SOLID token on a weekly basis according to the pools that veSOLID lockers voted for. Currently this amounts to over $240k USD per week in incentives. Voters earn 20% of fees from the pools they vote for, thus they’re incentivized to vote for pools which provide them the highest returns. This in turn allocates SOLID emissions to these hyper-efficient pools, which then in turn again deepen their liquidity, leading to a positive filtering of high-value pools.

3. Solidly bribing mechanism Protocols that are looking to create or deepen liquidity of their token pairs can do so by either attaching liquidity incentives to their pools directly, or alternatively by bribing voters to vote for their pool(s). Multiplier effects possible.

4. Merkle Rewarder Solidly has created its in-house solution for distributing all reward types (LP fees, LP emissions, LP bribes, Voter bribes, Voter fees). This gives Solidly the unique value proposition of being able to incentivize custom liquidity ranges among filtering out predatory JIT attacks.

5. SolidSync Omnichain Bridge Solidly has recently unveiled its in-house crosschain messaging aggregator. It uses a x of y of z secure signature setup, which accompanies all of its chain deployments. Solidly has recently launched its first deployment using the SolidSync bridge on Fantom, it became the #2 DEX by volume within 40 hours, outcompeting year-long solutions due to high efficiency deltas. SolidSync was granted early mainnet access by Chainlink and it’s used in a 2/3 setup with CCIP, LayerZero and Axelar. Find out more about SolidSync in this X thread: https://twitter.com/SolidlyLabs/status/1738609337738662269

6. Perpetuals Through its exclusive and strategic stake in SYMMIO, Solidly will offer cutting-edge intent-based perpetuals trading. Deployment is expected to happen in Q1 2024. More info here.

Value Proposition

Solidly provides a cutting edge platform for high-efficiency liquidity provision. The Solidly flywheel ensures that emissions and incentives get allocated in the most effective way and to ensure deep liquidity in the healthiest and most volume-generating trading pairs. Furthermore it enables protocols to deepen the liquidity of their pools in a highly efficient and automated way with a friendly UX, allowing for multi-week and future-dated incentives, something which Lido Finance is currently actively using on Ethereum mainnet. Through its strategic partnership with Symmetrial, Solidly will enable intent-based perp trading on Metis for the most cutting-edge on-chain perp experience.

Benefits for Users

Solidly will enrich the Metis community and ecosystem with its innovative solutions and friendly UX. It’s not just another copy-paste fork, it’s a truly unique protocol which has been building through all the bear and has seen astronomic growth in the past weeks.

Roadmap

Jan 2024 - Deployment Solidly CLAMM DEX & SolidSync omnichain crosschain message aggregator

Mar 2024 - Deployment Perp Engine

Audits

Solidly has been triple audited and will start its 4th audit with Cyfrin next Monday (Jan 8th 2024).

Find all past audits here:

https://github.com/SolidlyLabs/Solidly-Audits/tree/main/Solidly V3

Summary

Solidly proposes to deploy the Solidly CLAMM DEX, SolidSync omnichain messaging aggregator and Solidly Perp engine to Metis.

Official Links

Website https://solidly.com

Twitter https://twitter.com/SolidlyLabs

GitHub https://github.com/SolidlyLabs

Docs https://docs.solidly.com