In the previous articles of Blue Fox Notes, it was mentioned many times that the next step of DeFi is to focus on the improvement of asset efficiency. This trend can be seen from the iterations of multiple protocols such as Uniswap and Curve.

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Build Trident based on BentoBox

To put it simply, BentoBox is a treasury, a place to gather funds, and a revenue aggregation protocol. Users deposit token assets into BentoBox and can obtain various passive income. Developers can also build their own DeFi protocols based on BentoBox. For example, the Kashi lending protocol is based on BentoBox.

Through asset aggregation, it can help users save costs and reduce management effort. For example, when a user deposits Sushi tokens into the BentoBox treasury, except for depositing and withdrawing operations that require payment of gas fees, the rest will be managed by the protocol, which can earn pledge fees or other protocol benefits. About BentoBox, you can pay attention to the previous article of Blue Fox Notes "The nature of the Sushi-Uni battle》。

Trident will also be built on BentoBox, which means that when users deposit their tokens into Bentobox, the treasury will earn more income for its assets based on various strategies. For example, when its token assets are not used for liquidity, it can also obtain income through other strategies.

Since the liquidity of SushiSwap will enter BentoBox, it means that there will be up to 2 billion US dollars in capital pool assets in the future, so that SushiSwap is not only a DEX, but also a revenue aggregator.

Diverse Liquidity Pools

At present, Sushi adopts the most basic 50/50 ratio liquidity pool, while Trident tries to meet the diverse needs of users by building a variety of pools. In addition to the traditional constant product model, it will also increase mixing pools and centralized liquidity. pool, weighted pool.

*mixing pool

The mixing pool allows users to exchange some similar assets (such as USDC, USDT, BUSD; wBTC, renBTC, etc.), reducing exchange slippage. Mixing pools can contain up to 32 token assets. Since they are all similar assets, these assets can be traded in a pool for a better trading experience. LPs providing liquidity to the mixing pool will receive NFT tokens instead of ERC20 LP tokens.

*Centralized liquidity pool

Regarding the centralized liquidity pool, Uniswap and Curve have also been designed and practiced before, and users can provide custom exchange rate ranges for their liquidity. You can refer to the article "Iteration of Curve: From Line to Surface".

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(Screenshot of the interface designed to provide liquidity for centralized liquidity pools, sourced from Sushiswap)

In addition, Trident will adopt a "mobile first" strategy, giving priority to supporting mobile phone user experience.

* Weighted pool

The difference between the weighted pool and the traditional 50/50 ratio pool is that it can support multiple assets, and you can customize the ratio of assets in the pool, such as 60/40 ratio. This is similar to Balancer's model. Trident will be able to support up to 8 tokens at the same time.

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(Screenshot of the design interface that provides liquidity for the weighted pool, source Sushiswap)

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Tines is its routing engine

Tines is a new routing engine designed by SushiSwap for the front end, and it is a multi-hop multi-routing exchange router. It can query the various pool types mentioned above, and give the best price solution based on factors such as gas cost, price slippage, and graph topology.

The multi-hop here means that exchanges can be made between multiple pools to achieve the best price; multi-routing means that transactions can be distributed horizontally to reduce slippage. In short, the core of Tines routing engine is to help traders achieve the best exchange price.

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More integration and landing

In terms of design concept, in addition to BentoBox has its own characteristics, whether it is weighted pool, mixing pool, centralized liquidity pool or routing engine, etc., similar concept shadows can be seen in other previous protocols. With the implementation of Trident, we may see an AMM that embraces a variety of concepts and practices. It can be seen that the SushiSwap team is better at integration and practice. As for how much it will affect Sushiswap, it should be seen soon.