While Uniswap claims to be bringing “Range Orders” as a completely innovative concept, it overlaps significantly with HipoSwap’s “Market Pool” feature launched six months ago in September 2020.
Last week, Ethereum-based decentralized exchange (DEX) Uniswap announced its long-awaited schedule for the version 3 update. Version 3 will bring some of the very interesting features of multiple fee tiers, aggregated liquidity, and area orders.
The concept of “range orders” is not entirely new in the crypto world, however, as it largely overlaps the functionality of the “hip maker pool” of a HipoSwap – introduced by Gate.io in September 2020. growing DEX platforms that currently dominate the DeFi area.
The concept of automated market makers (AMMs), flash credits, profit calculations and time-weighted price oracles has given him unique recognition in the DeFi area. However, this is not completely the case with the Uniswap V3 “Area Order” function. While Uniswap has received a lot of praise from the industry, the feature is not his idea.
The “Range Orders” function offered by Uniswap is certainly an updated version of the “Limit Order” function in Centralized Finance (CeFi). There is a great demand for ladder jobs in the DEX market. Therefore, UniSwap’s “Range Order” function aims to solve the problem of capital utilization close to the order book.
On the other hand, HipoSwap is a protocol launched by the GateChain-based DeFi platform HipoDeFi. This protocol supports the decentralized exchange with low slippage and high liquidity. The “Maker Pool” concept for DEXs also serves as a mechanism for optimizing the AMM concept. This concept was developed together with HipoSwap.
Draw a sheet of HipoSwap’s ‘Maker Pool’
As mentioned earlier, Gate.io launched HipoSwap and its pool of manufacturers in September 2020 to bring a new solution to the market. UniSwap’s “Range Order” concept is largely identical to HipoSwap’s Maker Pools, but has some minor differences in the details of the price settlement.
Technically speaking, Uniswap introduced the concept of “Range Orders” almost six months after HipoSwap. There are also talks that Uniswap’s innovation is preceded by DODO in the DEX track. The press release accessed by CoinSpeaker contains the following information:
“Uniswap V3 does not mention whether external oracles will be introduced, but DODO’s PMM model, which relates to offers from external oracles, aggregates liquidity in LPs in the market price range.”
HipoSwap is the main initiator for the introduction of new innovations in the AMM concept. Some of HipoSwap’s key innovations are:
- Support for the provision of liquidity in one currency
- Smoother trading curve
- Lower gas costs
HipoSwap has set itself the goal of further improving the DEX development process. DEXs are currently facing major challenges regarding exclusive relationships between slip and volatile loss. However, improving one could have ramifications for the other. Therefore, HipoSwap will continue to work to find a common solution for both.
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Bhushan is a FinTech enthusiast and has a keen understanding of the financial markets. His interest in economics and finance draws his attention to the emerging markets for blockchain technology and cryptocurrency. He is constantly in a learning process and keeps himself motivated by sharing what he has learned. In his spare time, he reads thriller novels and sometimes explores his culinary skills.
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