Introducing Orenium: The Intelligent Liquidity Layer
Today we're excited to announce Orenium, a new approach to DeFi liquidity that eliminates impermanent loss through single-asset vaults and oracle pricing.
The DeFi landscape has evolved rapidly, but one problem continues to plague liquidity providers: impermanent loss. Despite innovative approaches, the fundamental design of AMMs creates an unavoidable trade-off between providing liquidity and maintaining asset value.
The Problem with Traditional AMMs
Traditional automated market makers use bonding curves to determine prices. When you provide liquidity, you must deposit two tokens in a specific ratio. As prices diverge, the AMM automatically rebalances your position, selling your appreciating asset and buying the depreciating one.
This mechanism, while enabling permissionless trading, creates impermanent loss—a phenomenon where your LP position ends up worth less than if you had simply held the assets.
Orenium's Solution: Single-Asset Vaults
Orenium takes a fundamentally different approach. Instead of paired liquidity and bonding curves, we use:
- Single-asset deposits: Provide liquidity with just one token
- Oracle-based pricing: Fair market prices from decentralized oracles
- Intelligent routing: Capital is deployed to optimal opportunities
How It Works
When you deposit into an Orenium vault, you provide a single asset—say, USDC or ETH. The protocol uses oracle pricing to facilitate swaps at fair market prices, eliminating the price distortions caused by bonding curves.
Your deposit earns yield from swap fees and optimized DeFi strategies, all managed by our adaptive Yield Router. When you withdraw, you receive the same asset you deposited, plus your earned yield.
What's Next
We're currently in devnet preview, with mainnet launch planned for Q1 2025. We're actively seeking feedback from the community and security audits from leading firms.
If you're interested in testing Orenium or building on our protocol, check out our documentation and join us on X.