Aegis DFM: Dynamic Fee Hook for Uniswap V4

Aegis DFM is a dynamic fee hook for Uniswap V4 — designed to optimize capital efficiency, protect LP value, and automatically adapt to market volatility. It works with any Uniswap V4 pool.


Why Now?

Uniswap V4 introduced a powerful new primitive: hooks — customizable smart contracts that redefine how liquidity pools operate. This marks a turning point in how on-chain liquidity can be programmed, optimized, and monetized.

Yet most fee models today remain static — hardcoded, inflexible, and blind to market conditions. They underpay LPs, expose pools to MEV, and fail to scale fees in response to real risk.

Aegis changes that. It brings fees to life — adapting dynamically to volatility and defending liquidity when it’s most exposed.


⚠️ The Problem

  • LPs are undercompensated during volatile markets

  • MEV bots exploit static and predictable fees

  • Protocols rely on emissions or governance to reactively change fees


🛠 The Aegis Solution

Aegis dynamically adjusts fees on every trade using a two-part fee engine:

  • BaseFee – Updates daily using volatility data from a Truncated Oracle

  • SurgeFee – Activates temporarily during extreme price spikes (“cap events”)

Result:

  • Volatile markets → higher fees → higher LP earnings

  • Stable markets → lower fees → tighter spreads


👥 Who It’s For

  • Protocols & DAOs launching or upgrading Uniswap V4 pools

  • Liquidity Providers seeking smarter, risk-adjusted yield

  • DeFi Developers building on Uniswap’s hook architecture

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