Smart Pools are now live on Sushi, integrated directly into Sushi's UI. This integration offers Liquidity Providers (LPs) a way to enhance their capital efficiency with v3 Concentrated Liquidity pools without the need for active liquidity management.
What are Smart Pools?
Smart Pools, powered by Steer Protocol, is an Automated Liquidity Management (ALM) solution. If you've been providing liquidity on v3, you're likely familiar with the need of active managing i.e. continuously monitoring and adjustments required on your liquidity to maximize returns. For those who miss the simpler times of v2 (despite its lower APR), Smart Pools offer the best of both worlds. With Smart Pools, users can earn higher yield without the need to manually rebalance their own liquidity as the systems automatically keep the positions within range.
Smart Pools introduce dynamic adaptability, as opposed to static liquidity allocations. ALM actively adjusts to offer better returns, reduced risk, and a more efficient deployment of capital.
Compared to other ALM solutions, Smart Pools incorporate yield-generating algorithmic strategies, taking the yield to the next level. Smart Pools also integrated with Merkl, a non custodial yield farming mechanism, meaning users can farm without the need to stake pool tokens and earn rewards automatically.
Other benefits of Smart Pools on Sushi
Leveraging Steer Protocol's advanced multi-position strategy infrastructure and off-chain computing, they provide:
Auto-compounding of fees combined with amplified rewards, elevating profits and minimizing risks for LPs, with up to 8.5x efficiency compared to v2
Superior fees compared to other ALMs.
Permissionless pool creation, users can create a smart pool in under 30s start to finish.
Largest set of strategies people can use in regards to depth
Deeper liquidity with the same fund allocation.
Enhanced concentration of liquidity around the current price.
Reduced slippage and impermanent loss for traders.
Pool and Chill on Sushi
Sushi and Steer Protocol initiated their partnership earlier this year on the Steer Protocol platform. With this integration, users on Sushi v3 can now view and access all available pools directly through Sushi's native UI. This marks a significant improvement, allowing users to complete the user journey entirely on Sushi and providing the best LP experience possible i.e. Pool and Chill.
How to Access?
Users can simply navigate to https://www.sushi.com/explore to explore the Smart Pools below and enjoy the ease of v3 LPing now.
Looking Ahead
Stay tuned! We're planning to introduce more pools across various chains soon.
Important Links
Sushi Smart Pools: Link Steer Protocol: Link Smart Pools FAQ: Link
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