# Magma Finance (MAGMA): D-Score 50/100 — Moderately Decentralized

**BlockIndex D-Score: 50/100 (Moderately Decentralized).** Magma Finance (MAGMA) is a Layer 2 cryptocurrency using Other consensus. Magma Finance: Sui-based AI liquidity protocol optimizing AMM capital efficiency, dynamic fees, routing, and governance.

_Source: https://blockindex.ai/coin/magma · Data by BlockIndex.AI · Updated 2026-06-19_

## D-Score breakdown (0-100, higher means more decentralized)
| Component | Score |
| --- | --- |
| Overall D-Score | 50 |
| Node distribution | 0 |
| Initial distribution | 25 |
| Governance | 20 |
| Age and history | 5 |
| Autonomy | 0 |

## Key facts
- Layer: Layer 2
- Consensus: Other (N/A)
- Launch: Other
- Founder: N/A
- VC funded: No
- Max supply: 1,000,000,000
- Circulating: 190,000,000 (19.0%)

## Market data (as of 2026-06-19)
- Price: $0.4
- Market cap: $76.39M
- 24h volume: $3.32M
- 24h change: -14.77% · 7d change: +11.11%

## About
Magma Finance (MAGMA) is a decentralized, non-custodial liquidity protocol built on the Sui blockchain. It is positioned as liquidity infrastructure for the Sui DeFi ecosystem, with a focus on converting passively supplied liquidity into actively managed, yield-generating capital. The project is represented by the MAGMA token, which is described as a native utility and governance token used for governance, incentives, and membership access. The supplied source data does not identify a founder, launch date, corporate entity, headquarters, or executive team, so the project profile is primarily defined by its protocol architecture and market presence rather than disclosed organizational history.

The protocol's central technical feature is an AI-driven Adaptive Liquidity Market Maker, or ALMM. This design uses discretized liquidity bins, where each bin maps to a fixed price point, and combines that structure with a dynamic fee mechanism that adjusts fees according to real-time market conditions, particularly volatility. The source material states that this approach is intended to improve capital efficiency, reduce slippage, and better compensate liquidity providers during volatile periods. Magma also supports liquidity shapes or strategies including Spot, Curve, and Bid-Ask configurations, allowing liquidity to be distributed across markets in different ways depending on provider goals and market conditions.

Magma Finance's AI Strategy Layer is described as an off-chain computational engine that automates liquidity management. It consumes market data, rebalances liquidity across price bins, seeks to keep pool TVL active and fee-generating, and routes trades across Magma and the broader Sui DeFi ecosystem to reduce slippage and gas costs. The same AI layer is described as analyzing mempool conditions to identify and avoid MEV-related risks such as front-running. The protocol also includes a permissionless Pair Factory smart contract for creating markets for asset pairs on Sui, making it part of the broader DeFi application layer rather than an independent blockchain network.

The MAGMA token has a documented maximum supply of 1,000,000,000 MAGMA and a circulating supply of 190,000,000 MAGMA in the supplied market data, equal to 19% of maximum supply. CoinMarketCap source data lists MAGMA at $0.4583, with a market capitalization of $87.08 million and 24-hour volume of $16.47 million. The all-time low provided in the source was $0.06971 on April 2, 2026, while the all-time high was $0.4611 on June 4, 2026. No token allocation table, premine percentage, public sale percentage, ICO, IDO, or VC allocation data was provided, so distribution details beyond supply and circulation remain unknown.

Governance is described through MAGMA token-holder participation: holders can propose and vote on governance proposals related to future features, upgrades, and protocol parameters. This supports classification as a DAO or token-governed protocol, although the exact governance implementation, voting contract details, quorum rules, and treasury structure were not supplied. Development and operational details are also incomplete: no GitHub repository, open-source license, roadmap, or latest protocol version was provided. The project has, however, documented third-party smart contract audits by MoveBit, Zellic, and Three Sigma, and its strategic focus is clearly tied to AI-assisted liquidity optimization, capital efficiency, automated rebalancing, low-slippage routing, dynamic fee design, and MEV-aware execution on Sui.

## Links
- Website: https://magmafinance.io/
- Whitepaper: N/A
- GitHub: N/A

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About the D-Score: BlockIndex.AI rates decentralization from 0 to 100 across node distribution, initial distribution, governance, age and history, and autonomy. Methodology: https://blockindex.ai/dscore