Automated Liquidity Manager (ALM)
Welcome to AquaBera's Automated Liquidity Manager (ALM) documentation. The ALM is a fully on-chain system that optimizes how your liquidity is deployed across various AMMs in the Berachain ecosystem. Whether you're a project treasury, an individual liquidity provider, or a validator looking to maximize rewards, the ALM ensures your assets are always working efficiently with minimal risk.
What is the ALM?
AquaBera's ALM is an advanced liquidity management tool that:
- Aligns liquidity with market conditions to avoid over-selling or under-allocating tokens.
- Automates rebalancing in response to price movements, volatility, and strategic objectives.
- Preserves capital by mitigating impermanent loss, while maximizing fee income and liquidity incentives.
ALM Documentation Overview
This section contains:
- Overview & Benefits
- A high-level look at the key advantages and unique features of the ALM.
- How It Works
- A deep dive into the ALM's underlying logic, including directional liquidity, single-token deposits, and inventory-based rebalancing.
- Managing Positions FAQ
- Answers to common questions about setting up, monitoring, and adjusting liquidity positions through the ALM interface.
Key Features
- Single-Token Deposits\ The ALM allows you to deposit just one token, automatically handling liquidity without forcing you into a 50/50 pair.
- Directional Liquidity\ By prioritizing the asset you deposit, the ALM helps protect against unwanted selling or accumulation, particularly useful in volatile markets or new token launches.
- Automated Rebalancing\ The ALM monitors your liquidity "inventory" and adjusts positions in real time—no manual oversight or additional gas fees required for rebalances.
- Integration with Berachain\ Tightly integrated with Berachain's Proof-of-Liquidity (PoL) system and various AMMs (like Kodiak), so you can easily capture gauge incentives and BeraChain rewards.
Next Steps
- Read the Overview & Benefits to understand the ALM's core value proposition.
- Dive into How It Works for a detailed technical explanation, including single-sided liquidity and dynamic rebalancing.
- Check out the Managing Positions FAQ to get practical guidance on how to optimize and monitor your ALM positions.
For questions or support, please visit our GitHub issues.