Introducing Fluid DEX v2

From DEX v1 to v2: A Quick Recap

Fluid DEX v1 launched on October 29, 2024, introducing powerful financial primitives: Smart Collateral and Smart Debt. Within just three months, it became the fastest-growing DEX and the second biggest DEX on Ethereum.

Before we even shipped v1, the architecture and roadmap for DEX v2 were already being laid down. This post dives deep into what makes DEX v2 the foundation for any type of AMM.

Architecture Overview

At its core, Fluid DEX v2 runs on a singleton contract built atop the Fluid Liquidity Layer. This unified structure enables infinite composability while massively improving capital efficiency and gas usage as well as allowing cross-collateralization.

Governance can deploy infinite DEX types, each with its own logic and math, supporting every known AMM model and allowing for the creation of new ones.

On launch, DEX v2 will support 4 major DEX types:

• Type 1: DEX v1 Smart Collateral

• Type 2: DEX v1 Smart Debt

DEX v1 codebase will be ported to DEX v2 with minimal updates to allow better gas efficiency and some new features.

• Type 3: Smart Collateral Range Orders
  Like Uniswap v3 range orders, but enhanced — the liquidity earns lending APR by default and can be used as collateral.

• Type 4: Smart Debt Range Orders
  Create range orders on the debt side by borrowing assets - a completely new primitive.