🌊Liquidity
Automated and optimized concentrated liquidity
SteakHut Liquidity completely re-envisions liquidity providing. SteakHut has been built from the ground up as a liquidity solution offering retail-friendly and institutional-grade market-making solutions for on-chain liquidity.
SteakHut Liquidity offers the most composable and flexible liquidity management platform available, giving liquidity providers and liquidity seekers full control and flexibility over their liquidity.
We have redefined what it means to be a liquidity provider. Liquidity providers will now be able to access a range of strategies across key concentrated CLMMs, enabling users to access automated and optimized liquidity vaults. Users can also take advantage of SteakHut's permissionless vault creation and create their own unique strategies.
The Downfalls of Traditional Liquidity
SteakHut liquidity is a necessary response to the many downfalls that protocols and liquidity providers face across traditional liquidity options:
Fragmented Liquidity: Liquidity has become fragmented across blockchains, DEXs, and price ranges.
Stagnant Liquidity: In constant-function AMM models, liquidity is spread thinly across an infinite price range. Meaning liquidity is deployed inefficiently, leading to lower efficiencies and lower swap fee rewards.
Expensive Liquidity: The traditional approach to liquidity is a costly endeavor for protocols seeking liquidity. Liquidity is deployed in an inefficient way and token emissions are used to incentivize liquidity in a model that introduces inflation, high costs, and timely off-chain processes for liquidity seekers.
Complex liquidity: Next-generation concentrated liquidity AMMs drastically improve upon the downfalls of traditional liquidity, however often at the cost of added complexity. Concentrated liquidity can make it difficult to manage and optimize liquidity.
Impermanent loss: Concentrated liquidity AMMs introduce further risks to LPs, with a large majority of LPs receiving negative returns after factoring in impermanent loss. SteakHut's analytics suite helps liquidity providers monitor their liquidity with powerful insights.
Time-intensive liquidity: Concentrated liquidity removes the set-and-forget liquidity options LPs have grown accustomed to. In order to optimise liquidity, LPs will be required to manage, redistribute and reinvest rewards manually.
We realized that Web3 needed a solution that aggregated liquidity provisioning across all key AMMs and blockchains into a single specialized platform.
The Liquidity Layer of Web3
SteakHut is creating “the liquidity layer of Web3.” Our novel smart contracts have been designed for flexibility allowing cross-compatible liquidity management supporting all key CLMMs across multiple blockchains.
In a new form of liquidity aggregation users will be able to access and manage their liquidity across multiple AMMs, and blockchains, directly from the SteakHut platform.
SteakHut’s smart contracts will offer the most composable liquidity management tooling allowing for the creation of sophisticated market-making strategies on-chain.
With SteakHut Liquidity we hope to re-envision on-chain liquidity and set a new standard for creating deep liquid markets for everyone's favourite tokens.
SteakHut's In-house Strategies
Many liquidity providers will be accustomed to depositing their tokens into a liquidity pool or farm and passively earning rewards. SteakHut’s passive liquidity provisions offer LPs a range of “set-and-forget” liquidity options to deposit their tokens and optimize their returns.
Once deposited, your tokens will be rebalanced and reinvested automatically by our contracts. This will work to ensure that your liquidity always operates within the bounds of the strategy you choose, saving you time and gas having to manage your own liquidity daily.
Community Strategies
Liquidity should not be treated as a one-size-fits-all approach. Concentrated liquidity allows for endless ways to structure your liquidity depending on your risk tolerance and objectives.
SteakHut allows for “Liquidity Managers” to permissionlessly create actively managed vault strategies. Liquidity managers can opt to collect a performance fee and earn rewards for managing strategies.
Liquidity providers can find a trusted custom community vault that meets their needs, or easily create their own vault.
Liquidity as a Service
For protocols looking to integrate concentrated liquidity or looking to manage POL, SteakHut liquidity offers a new primitive to create liquidity strategies.
SteakHut's vault receipt LP tokens convert liquidity strategies into an ERC-20, this allows for the easy integration of concentrated liquidity into DeFi use cases such as lending and borrowing or farming.
For lending protocols, this allows concentrated liquidity pairs to be accepted as collateral. The protocol can then create permissionless strategies of various complexities. SteakHut will then act as the liquidity layer rebalancing and compounding liquidity around the set standards.
With SteakHut you can create your own permissionless automated liquidity provision strategies.
LP Tokens
When providing liquidity into SteakHut Liquidity. Users will be given an ERC-20 LP token as the vault receipt token. These tokens act as an ERC-20 wrapper for concentrated liquidity positions and can be used by partnering protocols for a variety of utilities.
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