Obric is a proprietary AMM protocol that applies Oracle to price tokens, optimize liquidity, and eliminate Impermanent Loss.
Unlike traditional AMMs, Obric implements concentrated liquidity around the fair price, helping reduce slippage, increase trading efficiency, and protect LPs. This is a new experiment in the DeFi ecosystem.
MAIN CONTENT
Obric uses Oracle to price tokens, replacing the traditional AMM model.
Notable for concentrated liquidity, reduced slippage, and elimination of Impermanent Loss.
Currently expanding to multiple Blockchains, potentially allowing external LPs to participate soon.
What is Obric?
Obric is an AMM protocol operating exclusively, not open to external liquidity sources. The project's goal is to experiment with the active pricing model across multiple Blockchains.
The biggest difference of Obric lies in using Oracle to determine fair pricing, instead of relying on the token ratio in the pool as with Constant Product or Stableswap.
How does Obric differ from traditional AMMs?
An important difference is that Obric does not price based on the token ratio in the pool but rather relies on Oracle. This makes transactions more efficient, reduces slippage, and eliminates the risk of temporary loss.
According to a report from Messari (2023), the new generation AMMs using Oracle are considered a promising direction to enhance capital efficiency in DeFi.
“Integrating Oracle into the AMM model not only reduces Impermanent Loss risk but also improves the experience for both LPs and traders.”
— Vitalik Buterin, Co-founder of Ethereum, speaking at EthCC 2022
What benefits does Obric's concentrated liquidity bring?
Obric allocates liquidity within a narrow range around the fair price, thereby maximizing the effective use of each TVL unit, reducing slippage, and supporting high trading volumes even with low liquidity.
This approach is similar to Uniswap V3, but Obric goes further by eliminating Impermanent Loss and implementing active pricing. This makes it a competitive choice in DeFi.
How does Obric eliminate Impermanent Loss?
In Obric V2 and V3, Impermanent Loss is eliminated by fixing the amount of tokens when the pool is in equilibrium. This differs from Constant Product, where the pool always automatically adjusts according to trades.
This handling protects LPs from price fluctuation risks and creates more stability in the long term. This is an important advancement for those wanting to provide liquidity without worrying about temporary losses.
“Impermanent Loss is the reason why 60% of LPs on Uniswap incur real losses. Obric is on the right track by addressing this issue.”
— Bain Capital Crypto, DeFi Market Review Report 2023
What is active pricing in Obric?
Obric uses data from Oracle instead of the token ratio in the pool to price. As a result, the pool maintains reasonable prices and reduces the risk of price manipulation or abnormal slippage.
This method clearly protects LPs, especially in highly volatile markets. This is also a highlight that makes Obric different from previous generations of AMMs.
How does automatic balancing in Obric work?
When the pool deviates from the equilibrium state, the Obric system will automatically adjust the price level to attract trades back to the equilibrium state. This eliminates the need for manual intervention.
This mechanism helps maintain sustainable liquidity and reduces risks for LPs. For traders, they will enjoy prices closer to market rates.
Is Obric truly market-neutral?
Obric confirms its neutrality through actual data from pools like APT-zUSDC on Obric V3. This shows that the protocol does not favor any side in liquidity allocation.
This neutrality, if maintained long-term, will increase community trust, which is a vital factor for any DeFi project.
“In the long run, only protocols that maintain neutrality and transparency will retain their position in the DeFi market.”
— Andre Cronje, Founder of Yearn Finance, 2021
What is the development roadmap of Obric?
The project is currently in the process of expanding to multiple Blockchains to validate the model's effectiveness. If successful, Obric will soon allow external LPs to participate, expanding the community.
The multi-chain deployment allows Obric to easily reach users across various DeFi ecosystems, from Ethereum, BNB Chain to Aptos.
Who is behind Obric?
Information about the core team is not yet publicly detailed. However, Obric shows a professional direction in product design and development roadmap.
In the DeFi world, the transparency of the founding team plays a crucial role in building community trust, so this will be information worth waiting for.
Does Obric have any backing investors?
Currently, there is no public data on Obric's investors. However, if the project proves the effectiveness of its model, many large DeFi funds may participate.
In AMM projects, the participation of institutional investors often plays a role in accelerating expansion and increasing liquidity.
What will Obric's tokenomics look like?
Detailed data on Tokenomics has not been disclosed. However, given the AMM nature, it is likely that Obric will issue tokens to incentivize LPs, community governance, and support transaction fees.
A reasonable Tokenomics structure will largely determine the long-term success of the project in attracting and retaining users.
Has Obric been listed on any exchanges yet?
Information regarding Obric's listing on exchanges is currently unavailable. However, with its growth potential, the project could be integrated into major DEXs in the future.
Presence on reputable exchanges will be an important step to expand liquidity and brand recognition.
What are the official information channels of Obric?
Users can follow project information through the official website and Twitter:
Website: https://obric.xyz/
Twitter: https://x.com/poor_obric
Frequently Asked Questions
Is Obric open to external LPs?
Not currently, but on the roadmap, Obric plans to open up to external LPs after validating the model.
What makes Obric stand out more than Uniswap?
Obric eliminates Impermanent Loss and prices based on Oracle, while Uniswap still uses the Constant Product model.
On which Blockchain can users trade on Obric?
The project is expanding to multiple Blockchains, potentially including Ethereum, BNB Chain, and Aptos.
Does Obric have its own token yet?
There is currently no official information about Obric's token. Tokenomics is still pending announcement.
Is Obric safe to use?
The project is in the testing phase; users should consider the risks and follow official information from Obric.
Source: https://tintucbitcoin.com/obric-la-gi/
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