The CLMM

A next-generation automated market maker is the concentrated liquidity market maker (CLMM) (AMM). Decentralized exchanges (DEX) become more capital efficient because to CLMMs, which also deliver high yield to liquidity providers (LPs).
We'll present the idea of CLMMs in this post on the fundamentals of cryptography. Then, we'll examine their operation, what makes CLMMs distinct from other AMMs, and how they might change the game for everyone involved in decentralized finance who cares about capital efficiency and deep liquidity (DeFi).
On Solana, an increasing number of DEXs are providing CLMMs. Currently, DEXs powered by a CLMM are offered on Solana by Orca Whirlpools, Invariant, Cykura, Lifinity, and Crema.

It enables liquidity providers to increase token pair liquidity within predetermined price ranges. This is regarded as one of the more difficult concepts in cryptocurrencies conceptually.
In other words, LPs (liquidity providers) will offer liquidity with a deeper approach since they will then forecast the range in which the trade will really occur rather than offering the complete range. small price.