The blockchain industry is facing significant losses due to Miner Extractable Value (MEV), with liquidity providers losing 5-7% of their profits annually, amounting to $500m. In response, CoW DAO has developed the first MEV-capturing Automated Market Maker (AMM), named CoW AMM, aimed at protecting liquidity providers from these losses. This new exchange is designed to prevent the estimated $500 million yearly losses to bots that exploit DeFi liquidity pools. The initiative has been highlighted as a significant development for decentralized autonomous organizations (DAOs) and decentralized applications (DApps) with Proof of Liquidity (POL).
ICYMI: CoW DAO unveils AMM exchange aimed at protecting liquidity providers from MEV https://t.co/n3VEHPYP7M
.@CoWSwap has gone full circle with its new AMM, protecting liquidity providers from MEV. https://t.co/5JAhlz57jC
1/ $COW Protocol released it's new AMM today and it's a big deal. There are a number of solutions to impermanent loss / LVR which is a type of MEV incurred due to arbitrage bots. The @CoWSwap solution is more elegant and likely more effective other potential solutions. https://t.co/c9ZRs9mxwe
CoW DAO aims to help liquidity providers capture MEV with its latest AMM https://t.co/8DbpJR06JA
Devs are doing things. The new @CoWSwap MEV-capturing AMM is a very big deal for daos & dapps w/POL. ๐The original white paper detailing the new design is worth a read here: https://t.co/hAVSjBJIK3 Among all my alts, COW is basically wagyu bc its such a comfy hodl. ๐ฎ๐ค https://t.co/Sdr5iuP0KW https://t.co/mXU19Qju43
๐ ๐ ๐ The dirty secret of AMMs is that many of their pools are leaking. In fact, liquidity providers lose 5-7% of their profits to MEV every year, making *most liquidity pools* unprofitable. That's why CoW DAO is building the first MEV-capturing AMM. We call it CoW AMM. https://t.co/hLIAyIzwDK
Bots fleece DeFi liquidity providers for $500m every year. CoW DAOโs new exchange stops them https://t.co/XerNDADYqe
CoW DAO unveils AMM exchange aimed at protecting liquidity providers from MEV https://t.co/jfJ3sKmn2q
As the Blockchain Industry Loses Billions Annually to MEV, the Solution Is Staring Us in the Face https://t.co/vNFl48rPL6