News/Trader Joe V2 Introduces “Liquidity Book” to Improve Capital Efficiency

Trader Joe V2 Introduces “Liquidity Book” to Improve Capital Efficiency

Aug 23,2022,17:13
Avalanche ecosystem decentralized trading platform Trader Joe announced that the Joe V2 protocol introduces a “Liquidity Book” design to improve capital efficiency through concentrated liquidity, and a variable fee that adjusts in response to market volatility to offset risks for liquidity providers. It is reported that concentrated liquidity allows liquidity providers to capture more fees with significantly less liquidity. Liquidity Book pools liquidity into constant sum price bins which are aggregated to form a market. In addition, Trader Joe plans to introduce limit order functionality for Joe V2 in the near future.
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