DynamicFlow AMM (DFA)

Algorithm, generalized by Ax11, that set asset prices and enable trading between assets.

DynamicFlow AMM is an algorithm, generalized by Ax11, designed to determine asset prices and facilitate trading between asset pairs. It extends and normalizes the classic x * y = k constant product formula used by Uniswap, providing a more flexible and generalized model for automated market making.

DFAMM VS CPAMM VS CLAMM

The table below explains how Ax11 AMM differs from other AMMs in the market.

Capabilities	DFAMM	CPAMM	CLAMM
Capital Efficiency	✅	❌	✅
Auto-Compound Rewards	✅	✅	❌
Directionality	✅	❌	❌
Automated Liquidity Concentration (ALC)	✅	❌	❌
Dynamic Fee Selection (DFS)	✅	❌	❌
Fungible LP Tokens	✅	✅	❌
Trader Incentivization	✅	❌	❌

CPAMM -> Constant Product Automated Market Maker (Uniswap V2)

CLAMM -> Concentrated Liquidity Automated Market Maker (Uniswap V3)

DFAMM -> Dynamic Flow Automated Market Maker (Ax11)