Mitigating Impermanent Loss and Advancing Liquidity in Multi-Chain DeFi
Sushi Labs, the innovation and development arm of SushiSwap, has acquired Shipyard Software, a DeFi infrastructure company known for its cutting-edge liquidity and trading technologies. This acquisition addresses key challenges in DeFi, including mitigating impermanent loss, optimizing liquidity provisioning, and enhancing multi-chain trading efficiency.
Transforming DeFi with Shipyard Technology Powered by DeFi Primitives
Shipyard founders Mark Lurie, a multi-exit founder and DeFi leader, and Abe Othman, a pioneer in AMM research, will join Sushi Labs as advisors. Their combined expertise will guide the integration of Shipyard’s technologies and shape the future of DeFi innovation. Shipyard Software brings two transformative products to Sushi:
Blade: A next-generation AMM powered by an innovative RFQ system that optimizes on-chain pricing, eliminates impermanent loss, and enhances trade execution. Designed to focus on blue-chip assets, Blade delivers unmatched pricing and performance, making it highly attractive to institutional investors and retail traders. With its advanced price optimization capabilities, Blade ensures better execution and robust results for traders and liquidity providers, setting a new standard in AMM technology.
Kubo: An advanced liquidity solution featuring delta-neutral vaults and single-sided staking, offering up to 100x margin capabilities for long-tail assets. Kubo will deploy as a new perps primitive within the Sushi ecosystem.
“Sushi and Shipyard are joining forces to solve some of DeFi’s toughest challenges,” said Jared Grey, Managing Director of Sushi Labs. “With Blade and Kubo, we’re not just advancing liquidity and trading efficiency—we’re setting a new benchmark for what DeFi can achieve.”
Expanding Beyond the Sushi Ecosystem
Integrating Blade and Kubo is pivotal in realizing Sushi Labs’ vision of fostering innovation across decentralized finance. By leveraging Shipyard Software’s cutting-edge technology, Sushi aims to extend its reach beyond its native ecosystem, providing powerful tools for liquidity management and trading efficiency across multiple platforms and networks.
Improved Swap Efficiency: Blade’s advanced RFQ system optimizes pricing, reduces front-running risks, and delivers better trade execution across multiple networks. This ensures users always receive competitive rates, enhancing trust and accessibility for retail and institutional traders.
Capital-Efficient Liquidity: Kubo’s delta-neutral vaults and single-sided staking mechanisms attract liquidity providers by offering scalable, robust solutions. This empowers users with unparalleled flexibility while supporting the seamless listing of long-tail assets that meet the evolving demands of DeFi participants.
Expanded Multi-Chain Access: Blade and Kubo further strengthen Sushi’s commitment to multi-chain growth, enabling faster deployment across new networks and unlocking liquidity in underserved ecosystems. Sushi is positioning itself as a borderless DeFi hub, connecting assets and communities across chains while enabling growth for the entire ecosystem.
With these advancements, Sushi Labs is laying the foundation for a decentralized future where users can trade and invest effortlessly, with confidence in the security, performance, and innovation of the Sushi platform and beyond.
For updates on the acquisition relating to Shipyard Software, please visit link.
