Application for Optimism Season 9 - Growth Grants

SwapBased

https://atlas.optimism.io/project/0x8595f830f4d1716621d19bca6394f304837133fb473d8fcd1699e84402df1409

100000

0xfd5844867387cecc3a0393b3e0be32479ea9e61a

SwapBased is the first DEX launched on Base, it was also one of the first to introduce Concentrated Liquidity to Base, with $700,000 volume in February, the lowest monthly amount to date, and $300,000 TVL. It allows seamless and cheap trading of all assets with its built-in multi pool routing, as well as integrated chain aggregator swapping available. The program would incentivise trading, liquidity provisioning and borrowing of assets on main lending platforms due to it's attractive LP yield. We'll focus Concentrated LPs since this is what brings the most efficient liquidity and optimal trading experience for Superchain, in this case Base chain, users.

cbETH-WETH , SwapBased , Base , CL 0.004% fee tier cbBTC-WETH , SwapBased, Base , CL 0.008% fee tier EURC-USDC , SwapBased, Base , CL 0.0035% fee tier syrupUSDC-USDC , SwapBased, Base , CL 0.01% fee tier ETH-USDC, SwapBased, Base , CL 0.05% fee tier WETH-wstETH , SwapBased, Base , CL 0.004% fee tier

cbETH - both on Aave , Morpho and Moonwell cbBTC - both on Aave , Morpho and Moonwell USDC - both on Aave , Morpho and Moonwell WETH/ETH - both on Aave , Morpho and Moonwell EURC - both on Aave , borrow on Morpho and Moonwell syrupUSDC - collateral on Aave and Morpho wstETH - both on Aave , Morpho and Moonwell This incentive design will be helpful for all kinds of borrow+collateral use in lending markets due to making available much deeper onchain liquidity which allows for better lending market looping via derivative assets which is the main 2026 catalyst for these markets.

cbETH-WETH , TVL: $2,000 , avg 30D volume: $4,500,000 , current 7D: $575 volume per $1 TVL cbBTC-WETH , TVL: $1,800 , avg 30D volume: $1,320,000 , current 7D: $183 volume per $1 TVL WETH-wstETH , TVL: $3,250 , avg 30D volume: $850,000 , current 7D: $64 volume per $1 TVL EURC-USDC , TVL: $3,100 , avg 30D volume: $140,000 , current 7D: $11 volume per $1 TVL ETH-USDC , TVL: $6,700 , avg 30D volume: $220,000 , current 7D: $8.21 volume per $1 TVL syrupUSDC-USDC ( not yet available )

Incentives will go to LPs during 2 months, with higher CL liquidity incentives we can incentivise both deeper liquidity as well as more trading not only from normal user but liquidity farmers as well on rebalances which increases chain activity altogether. This will create sustained liquidity because yields are low across DeFi at the moment and LP yield especially which is why trading and therefore chain revenue has been steadily declining, adn the above mentioned would increase this. To discourage short-term extraction the team will be providing liquidity in tight ranges and re-distributing 50% of those emissions, so mercenary liquidity can't game the incentives and to make sure progress on the volume milestones isn't affected by eventual mercenary liquidity. Wash trading is not a concern since all trading will be natural due to only liquidity being incentivised.

Yes

Yes

Yes