The "Hidden Champion" on Solana: How did the Dark Pool HumidiFi quietly take the top spot in market share?

Authors: TATO, azsui

Compiled by: Tim, PANews

PANews Editor’s Note: PANews Flash News on November 3 — HumidiFi’s 30-day trading volume surpasses Meteora and Raydium, leading the Solana DEX market. Most of the market is unfamiliar with HumidiFi, and the project’s official Twitter followers are only 12,000. Regarding this “hidden champion,” PANews has compiled and translated content from authors TATO and azsui, including an introduction to the HumidiFi project and upcoming ICO activities.

Main Text:

What is Prop AMM? And what is HumidiFi?

Traditional Automated Market Maker (AMM):

• Allows any user to inject liquidity → earn Trading Fees

• Uses a passive pricing mechanism (x*y=k constant product formula)

• Requires TVL to achieve deep liquidity

• Liquidity Providers (LPs) face impermanent loss risk

Professional Market Maker Automated Market Maker (Prop AMM):

• Fully provided by professional market makers

• Continuous updates to pricing strategies, independent of user trading behavior

• Algorithm actively manages inventory like centralized exchanges’ market makers

• No publicly available liquidity providers (LPs) = retail investors do not bear impermanent loss

HumidiFi’s core features:

• Rapid quote updates, multiple re-pricings per second

• Private order flow mechanism reduces volatility and frontrunning risk

• Capital is efficiently utilized by precisely concentrating liquidity in high-demand areas

• Fully operated through on-chain algorithms

• Accessible only via Jupiter routing

Can be understood as an on-chain version of Citadel Securities, a fully blockchain-based and permissionless market maker solution.

What HumidiFi has achieved

Volume Leadership

• Achieved approximately $100 billion in total volume within 5 months

• Accounts for 35% of Solana chain DEX total volume

• Daily trading volume remains steady at $1-19 billion

• Last month’s volume reached $34 billion (exceeding Raydium and Meteora combined)

Execution Quality

• Narrower SOL/USDC spreads than Binance

• Tighter quotes → lower slippage, price impact minimized near the limit

• 99.7% fill rate (almost zero trade failures)

Capital Efficiency Miracle

• Handles $819 million daily volume with only $5.3 million TVL

• Achieves 154x capital efficiency (traditional AMMs about 1x)

• Oracle updates require only 143 compute units (about 1000 times lighter than standard swaps)

Result? Users get better prices without even knowing HumidiFi is operating behind the scenes.

Why choose HumidiFi?

Technical Advantages

• Ultra-lightweight oracle updates requiring only 143 compute units

• Sub-second price refreshes (competitors need 15-30 seconds)

• Liquidity tightly centered around oracle prices = maximum capital efficiency

Jupiter Ecosystem Integration Advantages

• Jupiter handles over 80% of Swap volume on Solana

• HumidiFi accounts for 54.6% of Jupiter’s professional market maker routing

• Better prices → more routing options → higher trading volume → reinforced price advantage (flywheel effect)

Invisible Advantages

• No front-end interface

• Private order flow reduces MEV attack risks

• Anonymous operation = reduced regulatory target risk

First-Mover Scale Effect

When competitors aim for millions, HumidiFi directly achieves a billion-level breakthrough. In the DeFi market, liquidity attracts liquidity, and they have seized the opportunity early.

The Future is Here: HumidiFi Will Lead Solana DeFi Development

In short, it always provides you with the best offer. For users, this is exactly our core requirement.

HumidiFi will launch its governance and utility token $WET on the Jupiter’s latest DTF Launchpad in November (exact date TBD).

The sale will adopt a fixed price and proceed in three phases:

• Whitelist phase
• $JUP stakers phase
• Public sale phase

Key point: The $WET token has never received investment from any venture capital firm.

This means if VCs want to buy in, they must participate during the ICO subscription or purchase from the secondary market after the token is publicly listed.

After the sale ends, $WET will immediately be tradable in the Meteora liquidity pool.

Conclusion

• HumidiFi is a professional AMM protocol, accounting for over 50% of all DEX trading volume.
• $WET will be the first ICO project on Jupiter’s DTF Launchpad platform.
• $JUP stakers will be able to participate in this ICO subscription.