The new decentralized exchange (DEX) will leverage adaptive curve technology to adjust to market conditions, offering capital efficiency on trades. Flying Tulip also introduces trading features and products normally available only on centralized platforms.
Andre Cronje recently introduced his new decentralized exchange, Flying Tulip. According to the project’s documentation, the platform builds on the best features of popular DEXs like Uniswap and Curve, while offering major improvements in capital usage and trade performance.
Flying Tulip uses Adaptive Curve Technology—an algorithm that adjusts prices and fees based on market changes. This method improves order execution and overall trading efficiency, which benefits both traders and liquidity providers.
Unlike other platforms that use fixed pricing curves, Flying Tulip adjusts its pricing model in real time according to market conditions:
Decentralized exchanges started with one constant curve (like Uniswap’s formula) to balance liquidity pools.
Curve Finance pioneered adaptive curves in 2020. They improved upon the traditional constant product formula (x * y = k) to reduce slippage while maintaining deep liquidity for stablecoin swaps.
Instead of relying purely on the constant product model, Curve Finance introduced a hybrid approach that combines:
Other stablecoin DEXs also use the adaptive curve concept introduced by Curve Finance. Balancer uses a variation of that model for its stable asset pairs.
The developers of Flying Tulip claim that using an adaptive curve could reduce slippage by over 42% compared to traditional exchanges, give liquidity providers returns up to nine times higher, and use capital 85% more efficiently. For traders, this means better order execution with very little slippage in any market condition.
Flying Tulip is envisaged to be more than just a DEX. The platform integrates multiple DeFi functionalities, including spot trading, leveraged trading (with leverage of 50x and beyond), forex pairs, and options—all within a single liquidity pool to avoid fragmentation.
Flying Tulip won’t require an external wallet because it comes with a built-in one, much like centralized exchanges. Although every trade on the exchange takes place on-chain, users won’t face any gas fees or KYC requirements.
To enter this competitive market, the founders employ an aggressive pricing strategy. Compared to major perpetual exchanges such as Coinbase, Binance, and Hyperliquid, Flying Tulip promises lower fees and potentially better asset prices. Traders will benefit from lower fees during stable market conditions and only experience fee increases when volatility justifies them, rather than enduring fixed fees.
Not typical for DEXes, the new exchange pledges to fully comply with regulations and work with tools like OFAC screening, tax submissions, and wallet reporting to meet institutional needs. It will also include a suite of features for institutions, such as risk management tools, advanced reporting, and enterprise-level API access.
While details are still emerging, early indications suggest that the exchange will launch on Sonic Chain (formerly Fantom). The exact launch date and information regarding a native token (if any) will be announced in the near future.
Andre Cronje, the founder of the exchange, is a serial DeFi entrepreneur and innovator. Cronje gained widespread recognition in 2020 after launching Yearn Finance. He has also contributed to multiple other protocols and DeFi projects, including Fantom, Multichain, Hegic, Pickle, Cover, PowerPool, and others.
Notably, in early 2022, he developed Solidly, another decentralized exchange on the Fantom blockchain. It aimed to revolutionize liquidity incentives with ve(3,3) tokenomics, an incentive model that combined vote-escrowed governance (ve) with Olympus DAO’s (3,3) game theory. However, Solidly collapsed within months due to Cronje’s abrupt exit from DeFi and rapid liquidity loss. Its governance model allowed large players to exploit incentives, triggering massive sell-offs and a decline in adoption.