The mysterious team that dominated Solana for three months is now launching their own coin on Jupiter?
An anonymous team with no official website or community has devoured nearly half of the transaction volume on Jupiter in just 90 days.
To delve deeper into this mysterious project, we must first witness an ongoing on-chain transaction revolution happening on Solana.
HumidiFi accounts for 42% of Jupiter's transaction volume
Source: Dune, @ilemi
How Proprietary AMMs Are Restructuring On-Chain Transactions
In the context of AMMs, toxic order flow refers to high-frequency arbitrageurs leveraging low-latency connections and advanced algorithms to preemptively capture price differentials and swiftly arbitrage the price delta between on-chain and price-discovery venues (typically centralized exchanges like Binance). The profits taken by these toxic order flows are ultimately borne by traders, liquidity providers, and on-chain market makers.
In traditional financial markets that utilize a Central Limit Order Book (CLOB) to match trades, professional market makers can cope with toxic order flow in various ways (such as adjusting spreads or pausing quotes). By analyzing order flow patterns, they can identify traders with an informational edge and adjust quotes accordingly to mitigate losses caused by adverse selection. Therefore, market makers operating on Solana naturally opted for DEXes like Phoenix that employ a CLOB. However, during Solana's "meme frenzy" period from 2024 to early 2025, the Solana network, overwhelmed by unprecedented demand, struggled to handle market maker orders, and updating quotes required significant expensive computation, leading to a steep increase in market makers' costs.
A series of thorny practical issues is compelling a cohort of the most seasoned AMM market makers to fundamentally rethink how on-chain markets operate, giving rise to a revolutionary new market structure.
This new paradigm is known as a Proprietary AMM (Prop AMM), aiming to provide lower spreads and more efficient liquidity on-chain while minimizing the risk of exploitation by high-frequency arbitrageurs.
SolFi, ZeroFi, and Obric were the initial triumvirate of Proprietary AMMs, which did not expose contract interfaces publicly but instead directly provided interfaces to major trading routes like Jupiter and demanded that Jupiter route orders to their AMMs. This design makes it extremely difficult for external professional arbitrageurs like Wintermute to directly interact with the contracts as they cannot comprehend or predict the trading logic, thereby preventing the replacement of market maker quotes and the adverse selection problem of informational advantaged entities.

In February 2025, SolFi, ZeroFi, and Obric were the three main proprietary AMMs.
Source: Dune @the_defi_report
HumidiFi's Blitzkrieg
The competition among proprietary AMMs had heated up by July 2025, and a project called HumidiFi rapidly reshaped the entire market landscape.
HumidiFi officially launched in mid-June 2025, and just two months later, it had captured 47.1% of all proprietary AMM trading volume, establishing itself as the undisputed market leader. In contrast, the former dominator SolFi saw its market share plummet from 61.8% two months prior to 9.2%.

Source: Dune @the_defi_report
HumidiFi's dominance was particularly evident in the SOL/USDC trading pair. On October 28th, HumidiFi processed $1.08 billion in SOL/USDC trades in a single day, accounting for 64.3% of that day's total volume for the pair.

Source: Dune @the_defi_report
HumidiFi also exhibited a high penetration rate in the Jupiter routing. As an aggregator that holds an 86.4% market share on Solana, Jupiter's routing choices largely dictate traders' actual experiences. Data from October 20th showed that HumidiFi held a market share of 46.8% in Jupiter, more than four times that of the second-place TesseraV (10.7%).

Source: Dune @the_defi_report
Zooming out to the entire self-custody AMM ecosystem, HumidiFi's dominance remains strong. On October 28, the total trading volume of all self-custody AMMs reached $21.8 billion, with HumidiFi alone occupying $13.5 billion, accounting for a significant 61.9%. This number not only far exceeds the second-place SolFi's $3.09 billion but even surpasses the total trading volume of competitors ranked 2-8.

Source: Dune @the_defi_report
This victory of HumidiFi was achieved almost in complete "stealth" mode. It had no official website, no early Twitter account, and no information about team members was ever disclosed.
HumidiFi doesn't need marketing, airdrops, or storytelling. It only needs to provide better price spreads and execution prices than its competitors in every transaction. When Jupiter's routing algorithm repeatedly chose HumidiFi, the market had already cast its vote in its own way.
The Race to the Limits of Speed and Cost
The key to HumidiFi's success lies in compressing the computational cost of oracle updates to the extreme and cleverly converting this technological advantage into absolute market dominance through the Jito auction mechanism.
Firstly, HumidiFi has low resource consumption. According to data provided by @bqbrady, each oracle update of HumidiFi consumes only 799 CUs (Compute Units). In comparison, its main competitor SolFi requires 4339 CUs. TesseraV, operated by top market maker Wintermute, also needs 1,595 CUs, which is double that of HumidiFi.

Source: X, @bqbrady
HumidiFi also leveraged its advantage of low CU consumption to gain absolute transaction priority in Solana's MEV infrastructure Jito auction. In the Jito auction, transaction priority is not determined by an absolute tip but by a Tip per CU. HumidiFi pays around 4,998 lamports as a fee for each oracle update. Due to its extremely low CU consumption (799 CUs), its Tip per CU ratio reaches an astonishing 6.25 lamports/CU.

According to data provided by Brennan Watt, an engineer at Anza, a core developer of Solana, HumidiFi used 6 times less CU than the former flagship SolFi Prop AMM and paid over 8 times more in gas fees.
Another key advantage of HumidiFi is the oracle update frequency. HumidiFi updates its oracle 17 times per second, far exceeding its main competitors (SolFi at 13 times, TesseraV at 11 times, and ZeroFi at 10 times).
In the intense volatility of the cryptocurrency market, this almost real-time price tracking ability enables it to always peg near fair value, avoiding opportunities for arbitrageurs, and providing tighter liquidity without the need to self-protect through widening spreads.
Furthermore, HumidiFi has also done well in cost control. HumidiFi's daily operating cost is only $2,247. In comparison, although SolFi manages 5 times the assets under management (AUM) of HumidiFi ($80 billion vs. $16 billion), its daily cost is only 20% lower than HumidiFi at $1,785.
WET Token Launches on Jupiter DTF

During the community call on the evening of October 30, the Jupiter team announced their ICO platform DTF's inaugural launch project: HumidiFi, with the token symbol WET.

According to the disclosed demo webpage, the allocation is divided into three parts:
A whitelist (acquisition rules to be determined) can ensure a portion of the allocation.
JUP stakers can secure an allocation based on their staked amount.
The public allocation follows a first-come, first-served (FCFS) model, with immediate on-chain circulation once filled, without a lock-up period.

It is worth noting that the HumidiFi team explicitly stated on Twitter that there are "no VC allocations," which is particularly rare in the current market environment dominated by VC presales and low-circulating high FDV projects.
Proprietary AMM is a "winner-takes-all" race, and HumidiFi has achieved its dominant position today based on its technological prowess. However, this also means that once a new competitor makes a breakthrough in CU efficiency or oracle speed, it could quickly erode its market share. This Prop AMM war is clearly just beginning.
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Debunking the AI Doomsday Myth: Why Establishment Inertia and the Software Wasteland Will Save Us
Editor's Note: Citrini7's cyberpunk-themed AI doomsday prophecy has sparked widespread discussion across the internet. However, this article presents a more pragmatic counter perspective. If Citrini envisions a digital tsunami instantly engulfing civilization, this author sees the resilient resistance of the human bureaucratic system, the profoundly flawed existing software ecosystem, and the long-overlooked cornerstone of heavy industry. This is a frontal clash between Silicon Valley fantasy and the iron law of reality, reminding us that the singularity may come, but it will never happen overnight.
The following is the original content:
Renowned market commentator Citrini7 recently published a captivating and widely circulated AI doomsday novel. While he acknowledges that the probability of some scenes occurring is extremely low, as someone who has witnessed multiple economic collapse prophecies, I want to challenge his views and present a more deterministic and optimistic future.
In 2007, people thought that against the backdrop of "peak oil," the United States' geopolitical status had come to an end; in 2008, they believed the dollar system was on the brink of collapse; in 2014, everyone thought AMD and NVIDIA were done for. Then ChatGPT emerged, and people thought Google was toast... Yet every time, existing institutions with deep-rooted inertia have proven to be far more resilient than onlookers imagined.
When Citrini talks about the fear of institutional turnover and rapid workforce displacement, he writes, "Even in fields we think rely on interpersonal relationships, cracks are showing. Take the real estate industry, where buyers have tolerated 5%-6% commissions for decades due to the information asymmetry between brokers and consumers..."
Seeing this, I couldn't help but chuckle. People have been proclaiming the "death of real estate agents" for 20 years now! This hardly requires any superintelligence; with Zillow, Redfin, or Opendoor, it's enough. But this example precisely proves the opposite of Citrini's view: although this workforce has long been deemed obsolete in the eyes of most, due to market inertia and regulatory capture, real estate agents' vitality is more tenacious than anyone's expectations a decade ago.
A few months ago, I just bought a house. The transaction process mandated that we hire a real estate agent, with lofty justifications. My buyer's agent made about $50,000 in this transaction, while his actual work — filling out forms and coordinating between multiple parties — amounted to no more than 10 hours, something I could have easily handled myself. The market will eventually move towards efficiency, providing fair pricing for labor, but this will be a long process.
I deeply understand the ways of inertia and change management: I once founded and sold a company whose core business was driving insurance brokerages from "manual service" to "software-driven." The iron rule I learned is: human societies in the real world are extremely complex, and things always take longer than you imagine — even when you account for this rule. This doesn't mean that the world won't undergo drastic changes, but rather that change will be more gradual, allowing us time to respond and adapt.
Recently, the software sector has seen a downturn as investors worry about the lack of moats in the backend systems of companies like Monday, Salesforce, Asana, making them easily replicable. Citrini and others believe that AI programming heralds the end of SaaS companies: one, products become homogenized, with zero profits, and two, jobs disappear.
But everyone overlooks one thing: the current state of these software products is simply terrible.
I'm qualified to say this because I've spent hundreds of thousands of dollars on Salesforce and Monday. Indeed, AI can enable competitors to replicate these products, but more importantly, AI can enable competitors to build better products. Stock price declines are not surprising: an industry relying on long-term lock-ins, lacking competitiveness, and filled with low-quality legacy incumbents is finally facing competition again.
From a broader perspective, almost all existing software is garbage, which is an undeniable fact. Every tool I've paid for is riddled with bugs; some software is so bad that I can't even pay for it (I've been unable to use Citibank's online transfer for the past three years); most web apps can't even get mobile and desktop responsiveness right; not a single product can fully deliver what you want. Silicon Valley darlings like Stripe and Linear only garner massive followings because they are not as disgustingly unusable as their competitors. If you ask a seasoned engineer, "Show me a truly perfect piece of software," all you'll get is prolonged silence and blank stares.
Here lies a profound truth: even as we approach a "software singularity," the human demand for software labor is nearly infinite. It's well known that the final few percentage points of perfection often require the most work. By this standard, almost every software product has at least a 100x improvement in complexity and features before reaching demand saturation.
I believe that most commentators who claim that the software industry is on the brink of extinction lack an intuitive understanding of software development. The software industry has been around for 50 years, and despite tremendous progress, it is always in a state of "not enough." As a programmer in 2020, my productivity matches that of hundreds of people in 1970, which is incredibly impressive leverage. However, there is still significant room for improvement. People underestimate the "Jevons Paradox": Efficiency improvements often lead to explosive growth in overall demand.
This does not mean that software engineering is an invincible job, but the industry's ability to absorb labor and its inertia far exceed imagination. The saturation process will be very slow, giving us enough time to adapt.
Of course, labor reallocation is inevitable, such as in the driving sector. As Citrini pointed out, many white-collar jobs will experience disruptions. For positions like real estate brokers that have long lost tangible value and rely solely on momentum for income, AI may be the final straw.
But our lifesaver lies in the fact that the United States has almost infinite potential and demand for reindustrialization. You may have heard of "reshoring," but it goes far beyond that. We have essentially lost the ability to manufacture the core building blocks of modern life: batteries, motors, small-scale semiconductors—the entire electricity supply chain is almost entirely dependent on overseas sources. What if there is a military conflict? What's even worse, did you know that China produces 90% of the world's synthetic ammonia? Once the supply is cut off, we can't even produce fertilizer and will face famine.
As long as you look to the physical world, you will find endless job opportunities that will benefit the country, create employment, and build essential infrastructure, all of which can receive bipartisan political support.
We have seen the economic and political winds shifting in this direction—discussions on reshoring, deep tech, and "American vitality." My prediction is that when AI impacts the white-collar sector, the path of least political resistance will be to fund large-scale reindustrialization, absorbing labor through a "giant employment project." Fortunately, the physical world does not have a "singularity"; it is constrained by friction.
We will rebuild bridges and roads. People will find that seeing tangible labor results is more fulfilling than spinning in the digital abstract world. The Salesforce senior product manager who lost a $180,000 salary may find a new job at the "California Seawater Desalination Plant" to end the 25-year drought. These facilities not only need to be built but also pursued with excellence and require long-term maintenance. As long as we are willing, the "Jevons Paradox" also applies to the physical world.
The goal of large-scale industrial engineering is abundance. The United States will once again achieve self-sufficiency, enabling large-scale, low-cost production. Moving beyond material scarcity is crucial: in the long run, if we do indeed lose a significant portion of white-collar jobs to AI, we must be able to maintain a high quality of life for the public. And as AI drives profit margins to zero, consumer goods will become extremely affordable, automatically fulfilling this objective.
My view is that different sectors of the economy will "take off" at different speeds, and the transformation in almost all areas will be slower than Citrini anticipates. To be clear, I am extremely bullish on AI and foresee a day when my own labor will be obsolete. But this will take time, and time gives us the opportunity to devise sound strategies.
At this point, preventing the kind of market collapse Citrini imagines is actually not difficult. The U.S. government's performance during the pandemic has demonstrated its proactive and decisive crisis response. If necessary, massive stimulus policies will quickly intervene. Although I am somewhat displeased by its inefficiency, that is not the focus. The focus is on safeguarding material prosperity in people's lives—a universal well-being that gives legitimacy to a nation and upholds the social contract, rather than stubbornly adhering to past accounting metrics or economic dogma.
If we can maintain sharpness and responsiveness in this slow but sure technological transformation, we will eventually emerge unscathed.
Source: Original Post Link

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Debunking the AI Doomsday Myth: Why Establishment Inertia and the Software Wasteland Will Save Us
Editor's Note: Citrini7's cyberpunk-themed AI doomsday prophecy has sparked widespread discussion across the internet. However, this article presents a more pragmatic counter perspective. If Citrini envisions a digital tsunami instantly engulfing civilization, this author sees the resilient resistance of the human bureaucratic system, the profoundly flawed existing software ecosystem, and the long-overlooked cornerstone of heavy industry. This is a frontal clash between Silicon Valley fantasy and the iron law of reality, reminding us that the singularity may come, but it will never happen overnight.
The following is the original content:
Renowned market commentator Citrini7 recently published a captivating and widely circulated AI doomsday novel. While he acknowledges that the probability of some scenes occurring is extremely low, as someone who has witnessed multiple economic collapse prophecies, I want to challenge his views and present a more deterministic and optimistic future.
In 2007, people thought that against the backdrop of "peak oil," the United States' geopolitical status had come to an end; in 2008, they believed the dollar system was on the brink of collapse; in 2014, everyone thought AMD and NVIDIA were done for. Then ChatGPT emerged, and people thought Google was toast... Yet every time, existing institutions with deep-rooted inertia have proven to be far more resilient than onlookers imagined.
When Citrini talks about the fear of institutional turnover and rapid workforce displacement, he writes, "Even in fields we think rely on interpersonal relationships, cracks are showing. Take the real estate industry, where buyers have tolerated 5%-6% commissions for decades due to the information asymmetry between brokers and consumers..."
Seeing this, I couldn't help but chuckle. People have been proclaiming the "death of real estate agents" for 20 years now! This hardly requires any superintelligence; with Zillow, Redfin, or Opendoor, it's enough. But this example precisely proves the opposite of Citrini's view: although this workforce has long been deemed obsolete in the eyes of most, due to market inertia and regulatory capture, real estate agents' vitality is more tenacious than anyone's expectations a decade ago.
A few months ago, I just bought a house. The transaction process mandated that we hire a real estate agent, with lofty justifications. My buyer's agent made about $50,000 in this transaction, while his actual work — filling out forms and coordinating between multiple parties — amounted to no more than 10 hours, something I could have easily handled myself. The market will eventually move towards efficiency, providing fair pricing for labor, but this will be a long process.
I deeply understand the ways of inertia and change management: I once founded and sold a company whose core business was driving insurance brokerages from "manual service" to "software-driven." The iron rule I learned is: human societies in the real world are extremely complex, and things always take longer than you imagine — even when you account for this rule. This doesn't mean that the world won't undergo drastic changes, but rather that change will be more gradual, allowing us time to respond and adapt.
Recently, the software sector has seen a downturn as investors worry about the lack of moats in the backend systems of companies like Monday, Salesforce, Asana, making them easily replicable. Citrini and others believe that AI programming heralds the end of SaaS companies: one, products become homogenized, with zero profits, and two, jobs disappear.
But everyone overlooks one thing: the current state of these software products is simply terrible.
I'm qualified to say this because I've spent hundreds of thousands of dollars on Salesforce and Monday. Indeed, AI can enable competitors to replicate these products, but more importantly, AI can enable competitors to build better products. Stock price declines are not surprising: an industry relying on long-term lock-ins, lacking competitiveness, and filled with low-quality legacy incumbents is finally facing competition again.
From a broader perspective, almost all existing software is garbage, which is an undeniable fact. Every tool I've paid for is riddled with bugs; some software is so bad that I can't even pay for it (I've been unable to use Citibank's online transfer for the past three years); most web apps can't even get mobile and desktop responsiveness right; not a single product can fully deliver what you want. Silicon Valley darlings like Stripe and Linear only garner massive followings because they are not as disgustingly unusable as their competitors. If you ask a seasoned engineer, "Show me a truly perfect piece of software," all you'll get is prolonged silence and blank stares.
Here lies a profound truth: even as we approach a "software singularity," the human demand for software labor is nearly infinite. It's well known that the final few percentage points of perfection often require the most work. By this standard, almost every software product has at least a 100x improvement in complexity and features before reaching demand saturation.
I believe that most commentators who claim that the software industry is on the brink of extinction lack an intuitive understanding of software development. The software industry has been around for 50 years, and despite tremendous progress, it is always in a state of "not enough." As a programmer in 2020, my productivity matches that of hundreds of people in 1970, which is incredibly impressive leverage. However, there is still significant room for improvement. People underestimate the "Jevons Paradox": Efficiency improvements often lead to explosive growth in overall demand.
This does not mean that software engineering is an invincible job, but the industry's ability to absorb labor and its inertia far exceed imagination. The saturation process will be very slow, giving us enough time to adapt.
Of course, labor reallocation is inevitable, such as in the driving sector. As Citrini pointed out, many white-collar jobs will experience disruptions. For positions like real estate brokers that have long lost tangible value and rely solely on momentum for income, AI may be the final straw.
But our lifesaver lies in the fact that the United States has almost infinite potential and demand for reindustrialization. You may have heard of "reshoring," but it goes far beyond that. We have essentially lost the ability to manufacture the core building blocks of modern life: batteries, motors, small-scale semiconductors—the entire electricity supply chain is almost entirely dependent on overseas sources. What if there is a military conflict? What's even worse, did you know that China produces 90% of the world's synthetic ammonia? Once the supply is cut off, we can't even produce fertilizer and will face famine.
As long as you look to the physical world, you will find endless job opportunities that will benefit the country, create employment, and build essential infrastructure, all of which can receive bipartisan political support.
We have seen the economic and political winds shifting in this direction—discussions on reshoring, deep tech, and "American vitality." My prediction is that when AI impacts the white-collar sector, the path of least political resistance will be to fund large-scale reindustrialization, absorbing labor through a "giant employment project." Fortunately, the physical world does not have a "singularity"; it is constrained by friction.
We will rebuild bridges and roads. People will find that seeing tangible labor results is more fulfilling than spinning in the digital abstract world. The Salesforce senior product manager who lost a $180,000 salary may find a new job at the "California Seawater Desalination Plant" to end the 25-year drought. These facilities not only need to be built but also pursued with excellence and require long-term maintenance. As long as we are willing, the "Jevons Paradox" also applies to the physical world.
The goal of large-scale industrial engineering is abundance. The United States will once again achieve self-sufficiency, enabling large-scale, low-cost production. Moving beyond material scarcity is crucial: in the long run, if we do indeed lose a significant portion of white-collar jobs to AI, we must be able to maintain a high quality of life for the public. And as AI drives profit margins to zero, consumer goods will become extremely affordable, automatically fulfilling this objective.
My view is that different sectors of the economy will "take off" at different speeds, and the transformation in almost all areas will be slower than Citrini anticipates. To be clear, I am extremely bullish on AI and foresee a day when my own labor will be obsolete. But this will take time, and time gives us the opportunity to devise sound strategies.
At this point, preventing the kind of market collapse Citrini imagines is actually not difficult. The U.S. government's performance during the pandemic has demonstrated its proactive and decisive crisis response. If necessary, massive stimulus policies will quickly intervene. Although I am somewhat displeased by its inefficiency, that is not the focus. The focus is on safeguarding material prosperity in people's lives—a universal well-being that gives legitimacy to a nation and upholds the social contract, rather than stubbornly adhering to past accounting metrics or economic dogma.
If we can maintain sharpness and responsiveness in this slow but sure technological transformation, we will eventually emerge unscathed.
Source: Original Post Link
HumidiFi accounts for 42% of Jupiter's transaction volume