🔨Overview

Overview of zkSync Labs

Introducing zkSync Labs, a decentralized exchange (DEX) designed for the zkSync blockchain. Our platform is community-driven and focused on delivering an exceptional liquidity solution. We've developed a highly efficient and customizable protocol that empowers users and builders alike to take full advantage of our infrastructure. Our priority is flexibility and sustainability, which is why we've taken composability to the next level. We've moved beyond conventional DEX designs to deliver a unique and customized experience for our users. Join us in exploring the future of decentralized finance and experience the power of zkSync Labs.

Our objectives

• Empower the zkSync ecosystem with a diverse range of cutting-edge features, granting them exceptional flexibility and control over their liquidity

• Assist new protocols launching on zkSync by supplying the necessary tools to initiate, bootstrap liquidity, and maintain their growth

• Offer permissionless tools accessible to projects of all sizes, enabling them to harness our protocol to suit their specific needs

• Present state-of-the-art functionality that can be seamlessly integrated, built upon, and utilized by other protocols within the ecosystem

• Apply a real yield narrative to DEX and liquidity provision by devising innovative emission strategies that leverage sustainable tokenomics and align incentives among builders, users, and the protocol

• Pursue maximal decentralization by allowing the community to steer the protocol forward as a DAO while enabling the core team to sustainably develop the protocol

Feature-rich AMM zkSync Labs incorporates a dual AMM capable of supporting both volatile (UniV3) and stable swaps. Moreover, we are introducing dynamic directional fees for our trading pairs, enabling unique fees for each pool and varying fees based on the swap direction (buying/selling). These pioneering AMM features facilitate the creation of highly customized pool configurations tailored to the specific trading pairs.

Next-gen yield & incentives A distinguishing feature of zkSync Labs is the introduction of a novel liquidity approach founded on non-fungible staked positions. These yield-generating positions serve as an additional layer atop standard LP tokens, introducing new features that benefit both users and protocols:

• Management of locks on staked positions and their corresponding yield boosts

• Substantial enhancement of capital efficiency through the implementation of custom staking strategies

• Unprecedented reusability, either through our protocol with our Hammer Pools or via the limitless potential of external implementations

Permissionless We are firm believers in the importance of allowing protocols to interact with zkSync Labs directly, without requiring consent or intervention from our team. We consider this approach vital for a modern AMM. Through our permissionless Hammer Pools, projects maintain full control over their incentives and can access an array of flexible options to create the precise liquidity needed for their success. While protocols retain complete control over their liquidity management and incentives, zkSync Labs also provides a customized strategy to help achieve their objectives. Our tailor-made launchpads offer complete permissionless access, granting all projects equal opportunities to bootstrap their token launch and liquidity. With various models to cater to different needs, zkSync Labs will initiate its launch through the Fjort Foundery launchpad, positioning it as a viable option for teams to raise funds and liquidity in a fully decentralized and community-driven manner.

Long-term sustainability zkSync Labs employs a dual token system, comprising the native liquid $ZKLAB and its escrowed counterpart $ZKLABX, a non-transferable governance token, both utilized as farming rewards. A majority of emissions are allocated to $ZKLABX, ensuring tight control over the market's supply flow. This approach facilitates a healthy balance between enticing incentives for initial liquidity growth and long-term protocol sustainability.