Magma Finance @Magma_Finance is a decentralized exchange (DEX) on Sui and has implemented the Adaptive Liquidity Market Maker (ALMM) protocol.
The project emerging at this time could also be a potential dark horse, worthy of attention and interaction based on the following points.
Portal -> /magmafinance.io/
Since the Cetus incident, the Dex landscape has been disrupted, and Dex on Sui is in a state of fragmentation.
The ALMM mechanism can achieve higher capital efficiency and zero slippage, with the representative project being Meteora on Solana, providing underlying liquidity support for various protocols, aggregators, Launchpads, etc., and is an indispensable infrastructure for the Sol ecosystem. The Sui chain still lacks a similar Dex.
TVL has recently seen rapid growth, with a monthly increase of over 50%, and there are potential airdrop activities attracting users.
Current competitive landscape of Dex on Sui, severely impacted after the Cetus incident, with momentum catching up to become number one, and Magma being the second fastest in growth, approximately $6 million TVL difference from Turbos, and could surpass Turbos based on growth rate, mainly influenced by airdrop expectations.
Dex, in addition to participating in LP and trading volume, also has interactions with Galaxy S1 activities.
-> /app.galxe.com/quest/MagmaFinance/GCiLytfkwN
❚ Analysis of the ALMM mechanism
ALMM is the core innovation of Magma, combining the concentrated liquidity automatic market-making concept of Uniswap V3 with the constant liquidity design of Meteora. Magma = zero-slippage CeFi trading experience + automatically aggregated DeFi passive income mechanism + security and performance protection by Move.
❚ Magma - Meteora on Sui?
Magma aims to become the Meteora of the Sui ecosystem, providing a reusable and dynamically scheduled liquidity layer for the entire chain ecosystem. It has made strategic adjustments for liquidity strategy as the underlying engine on Sui.
Differences compared to other Dex
Summary
Magma Finance aims to play a role similar to Meteora on other chains—an underlying engine for liquidity strategies. It has achieved the first truly zero-slippage, automatically adaptive fee rate concentrated liquidity market maker on the Sui chain through the ALMM protocol, combining the security and performance advantages of the Move language. It connects the entire chain ecosystem of trading, yield, and liquidity aggregation, especially suitable for high-frequency trading, arbitrage, and market making, with the potential to become the core infrastructure for liquidity on Sui. Magma is an unignorable dark horse project with airdrop expectations.