Backed by Coinbase Ventures and partnered with Aerodrome, Arcadia Foundry provides liquidity management solutions tailored towards DEX-first token launches and protocol treasuries looking to diversify and deepen their token markets.

This case study explores how Lazy Summer Protocol utilized Arcadia Foundry to establish and manage protocol-owned liquidity for the launch of the SUMR token on Base.

• Non-Custodial Control: Lazy Summer DAO maintained 100% ownership of its assets, using Arcadia Foundry as an automation layer rather than a middleman.

• Phased Liquidity Strategy: A “wide-to-narrow” range strategy was employed, gradually tightening the position’s range to allow organic price discovery before deepening liquidity for capital efficiency.

• Incentive Alignment: Courtesy of a performance-based fee model (10% of realized yield) Lazy Summer DAO only paid for active success, not for parked capital.

• Ecosystem Synergy: Deployment was localized on Aerodrome to maximize rewards from Aerodrome Ignite and compound them into strategic long-term veAERO positions.

Launching a token onchain presents a classic DeFi dilemma: how does one provide adequate liquidity to mitigate trade slippage without stifling organic price discovery. For the launch of the SUMR token, Lazy Summer Protocol needed a solution that could:

• Support Stability: Provide a liquidity backstop to dampen volatility during the initial trading phase.

• Enable Flexibility: Allow the DAO to maintain control over liquidity ranges as the market matures.

• Ensure Efficiency: Avoid expensive fixed management fees while maximizing synergy with the Aerodrome ecosystem.

Traditional liquidity management often requires DAOs to choose between “set-and-forget” passive positions (which are capital inefficient) or outsourcing control to third-party managers (which introduces trust and transparency risks).

Arcadia Foundry provides a middle-way solution by offering a non-custodial, automated execution environment where protocols enjoy full autonomy and transparency without forgoing capital efficiency.

Lazy Summer DAO opted for Arcadia Foundry, a non-custodial infrastructure designed for active liquidity management with onchain accountability. Unlike traditional vaults, Arcadia Foundry allows a DAO to remain the sole owner of liquidity positions while benefitting from automated rebalancing within strictly defined, DAO-approved constraints.

Lazy Summer DAO leveraged Arcadia Foundry to deploy liquidity into the SUMR/USDC Concentrated Liquidity (clAMM) pool on Aerodrome, supporting their Aerodrome Ignite campaign. 

Deployed liquidity earns AERO rewards, which the DAO can claim periodically to build a strategic veAERO position. Using accumulated veAERO to vote on the SUMR pool creates a self-enforcing feedback loop, continually strengthening liquidity for the SUMR token.

To support the token during its launch, liquidity was deployed in stages:

• Initial Phase: A 24-hour “cooling period” after the transferability event allowed for organic price discovery via Aerodrome Ignite.

• Expansion: Following the discovery period, the DAO minted an exceptionally wide position (roughly 200,000 ticks) through Arcadia. This mimics the behavior of a traditional Uniswap v2 position, allowing the price to move unrestrained while still capturing AERO rewards.

• Optimization: Over the subsequent two weeks, Arcadia Foundry automation modules gradually narrowed the position’s range. This increases capital efficiency, deepening liquidity around the market price as volatility stabilizes.

Fair incentive alignment lies at the core of Arcadia Foundry’s key differentiators. The protocol does not charge fixed management fees on TVL. Instead, a 10% fee is applied only to realized yield. This ensures Lazy Summer DAO never pays for idle capital or “parked” assets during periods of low activity.

The collaboration between Lazy Summer DAO and Arcadia demonstrates a shift in how DAOs can manage protocol-owned liquidity. By moving away from expensive, rigid, black-box vault structures and toward self-custodial onchain automation, protocols finally bridge the gap between algorithmic power and transparent accountability.

As the SUMR token continues to mature, the flexibility provided by Arcadia Foundry ensures Lazy Summer DAO isn’t locked into a single lane. Whether they choose to review their liquidity strategy, adjust automations, or switch incentive design, the DAO remains in the driver’s seat supported by Arcadia’s domain expertise and a system driving actual performance. 

Website | Discord | Twitter (𝕏) | Medium | Docs

Join our community to ask questions, discuss strategies and request new features.

Backed by Coinbase Ventures and partnered with Aerodrome, Arcadia Foundry provides liquidity management solutions tailored towards DEX-first token launches and protocol treasuries looking to diversify and deepen their token markets.

This case study explores how Lazy Summer Protocol utilized Arcadia Foundry to establish and manage protocol-owned liquidity for the launch of the SUMR token on Base.

• Non-Custodial Control: Lazy Summer DAO maintained 100% ownership of its assets, using Arcadia Foundry as an automation layer rather than a middleman.

• Phased Liquidity Strategy: A “wide-to-narrow” range strategy was employed, gradually tightening the position’s range to allow organic price discovery before deepening liquidity for capital efficiency.

• Incentive Alignment: Courtesy of a performance-based fee model (10% of realized yield) Lazy Summer DAO only paid for active success, not for parked capital.

• Ecosystem Synergy: Deployment was localized on Aerodrome to maximize rewards from Aerodrome Ignite and compound them into strategic long-term veAERO positions.

Launching a token onchain presents a classic DeFi dilemma: how does one provide adequate liquidity to mitigate trade slippage without stifling organic price discovery. For the launch of the SUMR token, Lazy Summer Protocol needed a solution that could:

• Support Stability: Provide a liquidity backstop to dampen volatility during the initial trading phase.

• Enable Flexibility: Allow the DAO to maintain control over liquidity ranges as the market matures.

• Ensure Efficiency: Avoid expensive fixed management fees while maximizing synergy with the Aerodrome ecosystem.

Traditional liquidity management often requires DAOs to choose between “set-and-forget” passive positions (which are capital inefficient) or outsourcing control to third-party managers (which introduces trust and transparency risks).

Arcadia Foundry provides a middle-way solution by offering a non-custodial, automated execution environment where protocols enjoy full autonomy and transparency without forgoing capital efficiency.

Lazy Summer DAO opted for Arcadia Foundry, a non-custodial infrastructure designed for active liquidity management with onchain accountability. Unlike traditional vaults, Arcadia Foundry allows a DAO to remain the sole owner of liquidity positions while benefitting from automated rebalancing within strictly defined, DAO-approved constraints.

Lazy Summer DAO leveraged Arcadia Foundry to deploy liquidity into the SUMR/USDC Concentrated Liquidity (clAMM) pool on Aerodrome, supporting their Aerodrome Ignite campaign. 

Deployed liquidity earns AERO rewards, which the DAO can claim periodically to build a strategic veAERO position. Using accumulated veAERO to vote on the SUMR pool creates a self-enforcing feedback loop, continually strengthening liquidity for the SUMR token.

To support the token during its launch, liquidity was deployed in stages:

• Initial Phase: A 24-hour “cooling period” after the transferability event allowed for organic price discovery via Aerodrome Ignite.

• Expansion: Following the discovery period, the DAO minted an exceptionally wide position (roughly 200,000 ticks) through Arcadia. This mimics the behavior of a traditional Uniswap v2 position, allowing the price to move unrestrained while still capturing AERO rewards.

• Optimization: Over the subsequent two weeks, Arcadia Foundry automation modules gradually narrowed the position’s range. This increases capital efficiency, deepening liquidity around the market price as volatility stabilizes.

Fair incentive alignment lies at the core of Arcadia Foundry’s key differentiators. The protocol does not charge fixed management fees on TVL. Instead, a 10% fee is applied only to realized yield. This ensures Lazy Summer DAO never pays for idle capital or “parked” assets during periods of low activity.

The collaboration between Lazy Summer DAO and Arcadia demonstrates a shift in how DAOs can manage protocol-owned liquidity. By moving away from expensive, rigid, black-box vault structures and toward self-custodial onchain automation, protocols finally bridge the gap between algorithmic power and transparent accountability.

As the SUMR token continues to mature, the flexibility provided by Arcadia Foundry ensures Lazy Summer DAO isn’t locked into a single lane. Whether they choose to review their liquidity strategy, adjust automations, or switch incentive design, the DAO remains in the driver’s seat supported by Arcadia’s domain expertise and a system driving actual performance. 

Website | Discord | Twitter (𝕏) | Medium | Docs

Join our community to ask questions, discuss strategies and request new features.