A boat in a container shipyard

The DEX Brief No. 21

Clipper launches new farming program, UniswapX, + more

Written by

The Shipyard Team

Published on

August 8, 2023

Top of Mind at Shipyard

  • Uniswap has announced a new gasless DEX aggregator, UniswapX. 
  • Why would Uniswap want to enable potential routing of flow away from its own pools? Perhaps it’s an attempt to evolve the business, given rising interest rates and impermanent loss making liquidity retention increasingly difficult.   

Uniswap again delivers the biggest news in the DEX world with the announcement of their gasless DEX aggregator, UniswapX. This is good news for traders because there will be more competition to fill their trades efficiently. It’s bad news for other DEX Aggregators, who will now have to contend with a dominant competitor. But at first glance, it’s mostly confusing. Why would Uniswap allow flow to be routed away from its own pools, cannibalizing its own marketplace?

Our hypothesis is rising interest rates. 70% of Uniswap volume is ETH <> USD pairs. But as ETH staking has unlocked and U.S. Treasury rates are making their way on-chain, it is becoming harder and harder to retain liquidity, which already loses money to impermanent loss. Without a clear solution to this existential elephant in the room, the smart hedge may be to evolve the business so it doesn’t need LPs at all.

- Shipyard CEO, Mark Lurie 

Below DEX

Clipper’s New Farming Feature is Live!

Why Do It? 🤔

Clipper is designed to maximize LP returns. The new farming feature gives LPs even more

opportunities to earn. Farming allows LPs to collect OP token rewards by depositing into the

newly deployed Core Pool farm on Optimism.

The Process 🛠️

Clipper kicked off farming starting on Optimism as a way to test the farming contract in

production and capture feedback from users. OP has significantly lower gas fees than Ethereum

mainnet so it’s a great chain to start on. 

LPs Win! 🎉

Check out farming now and  keep an eye out for new farms and reward options in the near

future…👀

Around DeFi

Community Updates

  • Clipper Adventure 4 Signups are open August 1st - 10th! The Adventure launches on August 15th → Sign up here
  • Clipper’s Discord has reached 100k members and growing! 

Written by

The Shipyard Team

Published on

August 8, 2023

March 29, 2024

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February 28, 2024

A positive omen for DeFi derivatives, Clipper's new facelift, the latest AdmiralDAO proposals, and more.

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