The Unified AMM

nest will operate as the central HyperEVM liquidity hub through an advanced modular AMM architecture that delivers superior performance
and price execution for core, stable and long-tail exchange assets.

Concentrated Liquidity (CLAMM)

The nest concentrated liquidity engine enables significantly enhanced capital efficiency from exchange assets by allowing liquidity providers to concentrate their capital within specific price ranges. This allows the exchange to maximise the effective depth of liquidity to provide the best pricing for traders. Based on the Algebra Integral V4 system, nest has key advantages:

• Modular Architecture: By separating immutable core logic for liquidity storage and swap calculations from interchangeable smart contracts that extend pool functionality like Dynamic Fees, this ensures that the most sensitive operations (like token storage and pricing math) remain secure, whilst peripheral features can evolve quickly to support emerging use cases without liquidity migration.

• Gas Efficiency: Backtesting shows that this upgraded architecture can achieve up to 20% in gas savings on swaps when compared to standard Uniswap V3. This will ensure that nest remains highly competitive in its capacity to attract aggregator volumes and provide optimal trading utility for HyperEVM traders.

• Plugins & Hooks: At launch, nest will deploy Dynamic Fee plugins with custom logic for each pool that has trained on historical HyperEVM market data. This allows fee rates to be adjusted in real-time based on market conditions to consistently outperform static fee pools to maximise protocol fees. Any team can build on nest pools to deploy their own custom hooks or plugins giving a foundation for an expansion of new use cases based on nest liquidity.

• Anti-Sniping: Protection hook mechanisms prevent bot exploitation during new token launches.

• Permissionless: Builders can deploy any pool type to bootstrap liquidity for their launches and earn fees. Enabling emissions distribution to new pools remains permissioned to ensure that protocols adhere to guidelines that uphold value for all users.

Classic Liquidity

Protocols can also benefit from classic pool deployment options according to their liquidity strategies.

Volatile AMM (vAMM): First popularised by Uniswap based on the constant-product formula price curve (x∗y=k). These pools are designed for tokens that are not correlated by price and that show high price volatility. Liquidity is provided in the ratio determined by the composition of assets in the pool.

Stableswap AMM (vAMM): Pool swap logic is based on the Solidly curve: x^3y+y^3x=k. These are pools for tokens that have little to no volatility, like stablecoin pairs. This means that the formula used for pricing the tokens allows for low slippage even on large swaps.

The result is a composable liquidity system that maximises volume and provides ideal trading execution for HyperEVM's most in demand tokens.