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How is the Liquidity Consensus Layer of Euclid Protocol supposed to work?

Photorealistic glass-sphere liquidity pool linked to 50+ blockchain icons around a futuristic newsroom.

Euclid’s core proposition stems from a concrete operational idea: generating, coordinating, and optimizing liquidity from a unified layer. This layer would function as a common point that applications can access permissionlessly, regardless of the underlying blockchain.

To achieve this, Euclid relies on a proprietary framework called LiquiSync, designed to standardize liquidity access across heterogeneous environments such as EVM, Solana, and Cosmos chains. From a dApp perspective, this eliminates the need for multiple network-specific integrations and reduces operational complexity to a single point of connection.

At the core of the system, the protocol combines an adaptive AMM with an internal order book, aiming to internalize price discovery. By concentrating liquidity and matching in a single layer, Euclid aims to reduce slippage and routing inefficiencies that arise when liquidity is fragmented across multiple pools and chains.

A key design element is the bridgeless settlement model. Euclid presents this approach as a way to reduce both gas costs and liquidity rebalancing needs, while also eliminating one of the most common attack surfaces in the crypto ecosystem.

If this model is implemented as described, cross-chain interoperability would become an abstract problem for applications. dApps could operate across multiple ecosystems without directly managing cross-chain transfers, significantly simplifying the development and deployment of complex DeFi products.

Euclid’s plans and protocol funding

Euclid plans to introduce a native token, $EUCL, designed to capture the value generated by protocol activity. In the proposed model, fees fuel rewards for liquidity providers (LPs); staking $EUCL offers fee discounts, governance participation, and additional rewards.

From the protocol’s perspective, these incentives aim to align liquidity providers, traders, and governance, increasing pool depth and improving execution conditions. In theory, more consolidated liquidity should translate into less slippage and more efficient pricing for both spot and derivatives trading.

Regarding funding, the project closed a $3.5 million investment round, with an extension that raised the total to $4.1 million, backed by strategic investors such as KuCoin Ventures, Gate Ventures, 0G Labs, Atom Accelerator DAO, and Kahuna Ventures. The team states that these funds will be used for the development of the Liquidity Consensus Layer and the roadmap to the mainnet.

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