Capybara

Capybara is a native DEX and launchpad on Kaia, launched in 2024 to serve token swaps and early issuance on the network formed by the Klaytn and Finschia merger. Rather than a constant-product model it centres on a coverage-ratio market-making algorithm that lets liquidity providers deposit a single asset type, with the protocol rebalancing the pool to fill trades.

The design targets impermanent loss in two-sided pools, and stablecoin pairs get a separate low-slippage curve suited to large transfers of pegged assets. Fees scale with volatility: 0.05% for stable pairs, 0.3% for major assets and 1% for long-tail tokens. Version 3 added concentrated liquidity with NFT-represented positions and custom price ranges. The launchpad handles initial liquidity for early ecosystem projects, and swapping, market making and issuance share one wallet flow.