Uniswap V3 API
Uniswap V3 introduces a new approach to liquidity provision through a unique mechanism called concentrated liquidity. This mechanism grants liquidity providers the ability to choose the specific price range or tick space in which liquidity is active. When the price crosses that tick space the liquidity becomes active, moving the proportion of token0 and token1, which earns fees in return for putting tokens at risk. This causes impermanent loss and can be hedged with a good strategy. This approach impacts users in two distinct ways.
Firstly, liquidity providers must actively manage liquidity positions using an automated strategy in order to maximize profits. Secondly, for a trader to quote a swap awareness of all liquidity positions is essential, unlike the simple x * y = k
constant function calculation with reserves liquidity pools.
Our Toolbox API for Uniswap V3 provides comprehensive coverage of Pools, Prices, and Liquidity. We offer detailed information on each pool, including tokens, factory, and pool creation. Our Prices feature calculates the market price with volume, and our Liquidity feature supports quotes and wallet positions.
This toolbox covers Uniswap V3 and all of its forks, cross chain.