Lava, a decentralised lending market, launched on March 7, aiming to optimise liquidity across blockchains and mitigate impermanent loss for automated market makers (AMMs).

Impermanent loss, a major concern in DeFi, hampers efficient markets and deters institutional investors.

According to John Lo of Recharge Capital, Lava's solution could democratise market making in DeFi and enhance capital efficiency.

Backed by Recharge Capital, Lava seeks to empower liquidity providers, increase market depth, and enable arbitrage between DeFi and centralised finance protocols.

Available on Arbitrum and Base blockchains, Lava plans to expand to other blockchains in the future.