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#CLMM - an advanced algorithm for AMM DEX platforms, lets liquidity providers add liquidity of token pairs in specific price ranges. LPs use deeper strategies by predicting trade ranges, rather than providing liquidity for the whole price range from 0 to infinity. 
#CLMM can make capital usage more efficient, but positions become inactive when price moves out of predetermined range. Not suitable for tokens with high price volatility.
Liquidity Providers in DeFi can earn higher fees and rewards with Concentrated Liquidity with #CLMM, resulting in efficient capital optimization and reduced risk for initial capital. Saved capital can be invested in other assets or deposited elsewhere in DeFi.
With #CLMM, Bob can provide liquidity for the ETH/DAI pool by depositing funds within a specific price range. Bob only needs to deposit $183.5K worth of ETH/DAI, compared to Alice's $1M in a traditional AMM. Both earn similar fees as long as ETH/DAI price stays within the range.
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