> For the complete documentation index, see [llms.txt](https://docs.ferra.ag/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.ferra.ag/core-protocols/damm/damm-overview.md).

# DAMM Overview

**Dynamic Automated Market Maker (DAMM)** is an advanced AMM that dynamically adjusts its pricing and fee strategies based on real-time market conditions, optimizing capital efficiency and minimizing losses for liquidity providers. Built natively on Sui, DAMM gives pool creators full control over fee curves, liquidity ranges, and launch mechanics, while LPs and launchpads benefit from smarter fee optimization out of the box.

### Key Features of Ferra DAMM

* **Dynamic Fee:** Fees adjust automatically based on real-time market volatility. High volatility means higher fees to protect LPs; calm markets bring fees back down.
* **Anti-Sniper Suite:** On-chain fee scheduler starts fees high at pool launch and decays them over time (linear or exponential). Combined with whitelist-gated pre-launch access, bots are priced out from block one.
* **LP Fee Collect Mode:** Pool creators choose how fees are collected: from the input token on every swap (`ON_BOTH`), or always from the quote asset (`ON_QUOTE`), giving precise control over which token accumulates as fee revenue.
* **Concentrated Liquidity:** Pool creators define tick ranges at genesis. All liquidity concentrates within that band, maximizing capital efficiency with the constant-product (x\*y=k) formula.
* **Single-Sided Liquidity Launch:** Bootstrap a pool with only one token. No need to supply both sides of the pair — ideal for token launches and launchpad integrations.
* **Liquidity Locks:** Lock LP positions on-chain with a `lock_until` timestamp. Supports permanent locks and vesting schedules. Lock durations are immutable once set — no admin override.

{% hint style="success" %}
**Key takeaways:**

DAMM is tailored for LPs seeking higher yields, projects launching tokens, and launchpads aiming for sustainable liquidity. Its anti-sniper fee scheduler and single-sided liquidity make it particularly suited for memecoin and new token launches
{% endhint %}


---

# Agent Instructions
This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com.

## Querying This Documentation
If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question.

Perform an HTTP GET request on the current page URL with the `ask` query parameter:

```
GET https://docs.ferra.ag/core-protocols/damm/damm-overview.md?ask=<question>
```

The question should be specific, self-contained, and written in natural language.
The response will contain a direct answer to the question and relevant excerpts and sources from the documentation.

Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.