Uniswap v3 Use Case

Uniswap v3 is the new update to the Uniswap DEX. It has a number of new features that allow it to improve on liquidity usage and add controls to prevent what is known as impermanent loss. The tradeoff for these new benefits is that it’s exceedingly difficult for a common user to analyze and decide on the most effective parameters to use for their risk preference. A normal user would not know in which ranges of a token they need to provide liquidity to have a low / medium / high risk balance between APY and impermanent loss.

Credmark solves this problem for Uniswap v3 users by providing best-in-class data models that tell the user:

• What the liquidity ranges and their APY are for the different risk options.

• When the risk profile changes so the user is able to update their position.

Users can easily select a liquidity pool, determine their preference of low / medium / high risk, see their expected APY and potential for impermanent loss, and utilize Uniswap v3 without having to understand the deep dynamics of the protocol itself.

This simplification gives users a lower barrier to entry, more peace of mind, and 24/7 monitoring of their positions. Notifications allow users to update their ranges accordingly.

There are currently no products available that provide users with dynamic analyses on DeFi positions that are backed by the best model contributors’ models with direct notifications whenever market dynamics change. This removes a significant amount of risk for users in taking part in DeFi.