Liquidty Allocation Modules (LAMs)

Chanelling liquidity in modular ways: an overview of Conic's Liquidity Allocation Modules.

What are LAMs?

Liquidity Allocation Modules, or LAMs, are the building blocks of Conic Omnipools that contain the logic for directing liquidity to different protocols. The default LAM is the Curve&Convex LAM, which allocates funds to Curve and stakes the Curve LP tokens on Convex. The vision is to grow Conic by supporting multiple different LAMs that all contribute towards more efficient liquidity provision.

What are some examples of possible LAMs?

  • Supporting PRISMA rewards. This would open up the possibility of supporting mkUSD as an asset on Conic as well as the earning of PRISMA rewards.

  • Allocating liquidity to other protocols (e.g., AAVE, Balancer).

  • Peg-keeping modules. Stablecoins could benefit from LAMs, which dynamically provide multiple assets to a peg-keeping pool of a stablecoin (instead of solely providing single-sided liquidity).

Please note that this is not an exhaustive list.

How can LAMs get added?

Anyone may propose a LAM on the Conic Discourse. Proposed LAMs will have to be reviewed by the Conic core team. The code for LAMs needs to be audited by a professional auditing firm.

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