Honeypot Finance has launched a new AMM-based perpetual decentralized exchange (Perp DEX) following a recent funding round that valued the company at $35 million. The platform introduces a unique layered vault system, comprising Senior and Junior Vaults, to address structural issues found in existing models like GMX and Hyperliquid. Senior Vaults, backed by institutional capital, are prioritized for fee distribution and are the last to incur losses, while Junior Vaults, catering to high-risk liquidity providers, absorb initial losses but offer higher rewards.
The exchange also features an Oracle Bands pricing mechanism, which aims to provide linear slippage expectations around oracle prices. Additionally, its liquidation process emphasizes fairness through partial liquidation, micro-auctions, and insurance pool support, targeting structural imbalances in competing platforms.
Honeypot Finance Debuts AMM Perp DEX with Innovative Vault System
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