KyberSwap launches FairFlow, selectively returning MEV profits to LPs.

According to Mars Finance, on August 5th, KyberSwap announced that it will launch a new LP rewards mechanism called FairFlow on August 6th. FairFlow is a Swap Hook based on Uniswap V4, designed to return the arbitrage profits that were originally captured by external MEV arbitrageurs back to liquidity providers (LPs), with rewards distributed without the need to stake LP Tokens. Its core mechanism is the Equilibrium Gain (EG) sharing plan: the KyberSwap aggregator connects to the FairFlow pool, and when trading presents arbitrage opportunities, the FairFlow Hook captures that portion of profits and returns 70% proportionally to LPs, while 30% is allocated to the platform ecosystem. The EG sharing is distributed in a dual-coin form weekly, and LP Tokens can simultaneously be used in other DeFi protocols to earn additional profits. According to official experimental data, the FairFlow pool's APR is higher than that of traditional pools; for instance, for the ETH-cbBTC trading pair on the Base network, the annual percentage rate of the FairFlow pool was 21% over 189 hours, while the standard pool was 16%. The FairFlow smart contract has passed the Omniscia audit, and future plans include supporting more similar protocols.

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