# V3 Introducing features as: **Concentrated liquidity**, this allows LPs to concentrate their liquidity into specific price ranges, which can significantly increase their returns.\ Individual positions are aggregated together into a single pool, forming one combined curve for users to trade against **Multiple fee tiers**, allowing LPs to choose the level of risk they are comfortable with and be compensated accordingly. Overall, Swap v3 is a significant improvement over our previous versions of the swap. It is more capital efficient, and provides better execution for traders. *LPs can significantly increase their exposure to preferred assets and reduce their downside risk.*