Most traditional DeFi protocols treat liquidity as a static resource, like a fixed pool of funds, where liquidity providers passively wait for trades to generate returns. However, the new generation of protocols is breaking this mindset — liquidity is no longer rigid but dynamically manageable. This means that capital utilization efficiency can be significantly improved, and LPs' earning potential is redefined. For example, some innovative projects are exploring mechanisms that automatically adjust liquidity based on market conditions, rather than simply locking it within a fixed price range. This improvement in approach is a noteworthy direction for the development of the entire DeFi ecosystem.