<If you're going to write a momentum article anyway, you'll end up writing on this topic๐Ÿ”ฅ> ๐ŸŽ€ Officially designated article topic #3 by @MMTFinance and @buidlpad! (Refer to previous topics for quotes) "Staking and yield optimization in the Sui Ecosystem" First, to optimize staking and yield, we need to understand why we should stake in MMT and how that structure works. In the next article, we will look for practical yield optimization strategies, and this is a foundational article for that. Let's get right into it~ > Basic concept of Staking in Sui Native Staking: SUI โ†’ Delegate to validators to receive inflation/fee rewards. It's stable but has yield limitations. Protocol Staking: Deposit into DEX/volts/strategy contracts to aim for fees/emissions/boosting. Yield increases, but so do smart contract and volatility risks. Here, momentum refers to the latter (protocol staking). > Staking layer structure in Momentum 1. LP Staking - Provide liquidity to the CLMM pool (specifying price range) โ†’ Stake LP tokens or positions - Rewards: Swap fees (based on actual trading volume) + emissions/boosting (gauge voting results) - Feature: Increases capital efficiency by placing capital in concentrated ranges 2. ve(3,3) Lockup Staking - Lock up tokens for a period โ†’ Acquire veMMT - Rights: Gauge voting (where to send emissions) + bribes + redistribution of trading fees - Role: Aligns growth (trading volume) โ†” rewards (emissions) to encourage rewards to gather in the actual use pool 3. Vault/Strategy Staking (optional) - Deposit into automatic rebalancing/reinvestment strategies - Purpose: Minimize costs/slippage + stabilize APR So, with this background, we need to think about how we can aim for yield optimization... With this content, it seems like you could easily whip up a momentum explanation post.
<โ“‚๏ธIf you're going to write a momentum article anyway, you'll end up writing on this topicโ“‚๏ธ> ๐Ÿ”ฅDid you know that there is an official topic set by @MMTFinance?? The first topic revealed through @buidlpad has already been noted in the quoted post. Let's do our best! Now, let's look at the second topic. "Growth and its role in trading" 1. Momentumโ€™s growth & its role in trading (on Sui) Liquidity is the engine of growth, and growth enhances trading quality. The recent increase in momentum's liquidity is the strongest itself, and the design of momentum creates this flywheel with CLMM ร— ve(3,3). 2. Growth โ†’ Trading quality If you think about it from the CLMM explanation I provided last time, you understand that in order to trade larger amounts of money comfortably, significant liquidity must already be stored beforehand, right? If thereโ€™s only 10,000 won in the liquidity pool, how can I buy and sell something worth 10,000 won? You need about 100 million won to trade without price fluctuations.. Increase in liquidity โ†’ Slippageโ†“ยทSpreadโ†“ โ†’ Execution qualityโ†‘ โ†’ Trader influxโ†‘ โ†’ Volumeโ†‘ โ†’ Commission pool thickens โ†’ Attracting liquidity becomes easier again. This is the growth-execution virtuous cycle that momentum aims for. 3. Maximizing capital efficiency with CLMM Concentrating liquidity in a narrow price range (active zone) โ†’ Creates a deep order book effect with the same TVL. Traders experience less slippage (reduced slippage), and LPs have lower wasted gas costs and higher efficient APR. The initial accelerator of growth becomes CLMM. 4. Smart Routing & Optimal Price Discovery Just like Jupiter on the Solana chain, it finds multiple paths to execute trades. Ultimately, smart routing between pools leads to optimal path execution โ†’ Increases price consistency across the chain. As execution quality improves, arbitrage costs decrease, and normal liquidity inflow increases = it lays the foundation for sustainable growth. 5. Mission โ†’ Growth โ†’ Trading A structure where all participants (traders, LPs, holders) are tied to one flywheel. A good execution experience calls for more liquidity, and that reward is returned to users, which in turn grows trading. That's Momentum. Wow... I really delved deep into momentum, and I tried my best to provide you with as many sources as possible to write your articles through this text. Let's do our best! Please leave pretty comments and unconditional praise, overwhelming support is appreciated ใ…Žใ…Ž
Show original
2.24K
50
The content on this page is provided by third parties. Unless otherwise stated, OKX is not the author of the cited article(s) and does not claim any copyright in the materials. The content is provided for informational purposes only and does not represent the views of OKX. It is not intended to be an endorsement of any kind and should not be considered investment advice or a solicitation to buy or sell digital assets. To the extent generative AI is utilized to provide summaries or other information, such AI generated content may be inaccurate or inconsistent. Please read the linked article for more details and information. OKX is not responsible for content hosted on third party sites. Digital asset holdings, including stablecoins and NFTs, involve a high degree of risk and can fluctuate greatly. You should carefully consider whether trading or holding digital assets is suitable for you in light of your financial condition.