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What is Super DCA Liquidity Network?

The Super DCA Liquidity Network is a collection of Uniswap V3 Liquidity Pool Positions that autocompound their fees to increase the liquidity overtime. This network is designed to permanently lock liquidity for the Super DCA Protocol. In this way, Super DCA Liquidity Network serves as an ownerless and immutable liquidity provider that can be used by Super DCA Protocol and other protocols as well.

Super DCA liquidity Network Source: Super DCA White Paper

How it works

Fees accumulate in the Uniswap V3 positions as they get used by traders, which will primarily be Super DCA Protocol. Other traders will use these pools as well if there exists a path through the network that offers the best path to fulfill a trade (the majority of this is probably MEV). Gelato will execute the transaction to compound fees once enough accumulates such that 1% of the fees will cover the transaction fee. When compounding, the Uniswap V3 position NFT is transferred to Revert Finance’s SelfCompounder contract which performs the fee compounding operations. SelfCompounder will then transfer the NFT back to the Super DCA Liquidity Network contract after the fees are compounded back into the position.

Permenant Protocol Owned Liquidity

The Super DCA Liquidity Network is an ownerless and immutable contract that permanently locks liquidity to power the Super DCA Protocol in perpetuity. Fees collected are automatically compounded back into the pools in the protocol using Gelato Network and Revert Finance’s SelfCompounder.

How it's used

The Super DCA Liquidity Network is used as the liquidity source for Super DCA Markets. Swaps on Super DCA Markets route through the Super DCA token. As shown below, a swap from USDC to ETH would route though the Super DCA token using the path [USDC, Super DCA, ETH]. This ensures that the Super DCA liquidity network collects the inescapable AMM fees paid by Super DCA Markets. Anyone Super DCA token holder can provide liquidity to the network by depositing into tokens into the liqudity pools that make up the network. Other protocols can also use the Super DCA Liquidity Network as a liquidity source for their own protocols.

How Super DCA uses the Liquidity Network

Source: Super DCA White Paper