元宇宙借贷

愿景：Lending to the metaverse

Money Market and AMM are important inventions as DeFi that have gained wide adoption in decentralized finance. It is typically used to enable token lending and trading via smart contracts on a public blockchain that requires no permission.

Even with the introduction of Concentrated Liquidity, which allows market makers to flexibly distribute assets across price ranges, there is still a large demand for capital to deploy liquidity across price ranges. Further, when the focused liquidity is outside the price range, market makers need to repeatedly adjust their positions to maximize funding efficiency. These two needs give rise to an incentive to increase leverage on AMM positions.

Themis Protocol: A Money Market protocol for AMMs. It allows market makers to increase their leverage at a lower cost while having better control over the price range of their funds used in AMMs. This article will explain how Themis Protocol creates an asset bridge between Money Market and AMMs through algorithms, functionality, and governance.