EigenLayer lets ETH stakers "restake" to secure other services like oracles, bridges, or data layers reusing Ethereum's trust to power new infrastructure. With Uniswap v4 Hooks, these restaked services (e.g. custom oracles, private mempools, compliance layers) can plug directly into swaps, enabling modular, trust-minimized DeFi rails.
Solve coincidence of wants to reduce taker fees
- Taker flow will exist in both directions (buy/sell) for any given pool.
- AVS operators can match these orders to reduce the overall flow that gets sent to the Uniswap pool
Dynamic fees for periods of high volatility
- Taker flow will exist in both directions (buy/sell) for any given pool.
- AVS operators can match these orders to reduce the overall flow that gets sent to the Uniswap pool.
Automatically adjust LP positions for LST pools
- Uniswap LPs face extra slippage from the natural yield-bearing nature of LSTs when LPing yield-bearing tokens (like stETH-ETH or rETH-USDC).
- AVS operators could automatically read the yield from these liquid staking positions and move all LP positions up the curve by a constant amount.
Dark Pools
- Some people are willing to wait for their transaction to be executed, but they want optimal prices.
- AVS operators can hold orders privately and match market orders together at the price of the most liquid exchange, predefined for that pair.
Run an auction to reduce Loss Versus Rebalancing (LVR)
- LVR exists because of the price discrepancy between continuous offchain exchanges (Binance) and onchain exchanges (which only trade every block, 13 seconds for Ethereum mainnet).
- AVS operators can run an auction to determine who gets the first transaction in a block.
- The proceeds of the auction would go to LPs, instead of validators as they would with traditional MEV auctions.
Run a shared state across all chains
- AMM pools can have different prices across chains. This leads to less efficient price discovery and more arbitrage on smaller chains.
- Have operators maintain an aggregate state of capital. When traders send orders, they trade against this combined pool and receive less slippage.