Many blockchain projects have been introduced as a result of the wave of rushing to exploit the potential of blockchain technology and one of them is AdaSwap.
AdaSwap is a DEX developed based on the Cardano network aiming to help the Cardano network to become an inclusive Defi protocol.
With the launch of AdaSwap, it is expected to be able to encourage more and more people to use Cardano blockchain through its distinct on-chain products.
Although Ethereum has been the most common blockchain amid the boom of the blockchain technology era today, Ethereum is losing wide-scale adoption in the blockchain industry.
Compared to other emerging competitors, Ethereum has often caught infrastructure congestion, its gas prices are extremely higher than others.
Cardano is the second biggest smart contract network after Ethereum and is predicted by many to become the first thanks to its scalability and green impact on the environment.
The blockchain focuses on providing sustainability, transparency, and the utility of scaling aiming to deliver an inclusive, fair, and resilient infrastructure.
However, Cardano still doesn’t have a decentralized exchange (DEX) meaning tokens built on the Cardano network don’t have a native exchange list or launchpad, therefore, Cardano users must reply on centralized exchanges for trade.
AdaSwap was created to solve this major drawback of Cardano and take its ecosystem to new highs.
What Is AdaSwap?
AdaSwap will be the first native exchange on Cardano to provide liquidity to projects that create native assets and a thriving ecosystem.
The platform will work as an Automated Market Maker (AMM) that provides decentralized and noncustodial market-making for liquidity providers, as well as the utility built on the Cardano blockchain infrastructure.
Overseen by well-known members of the crypto community, such as Lennon Qualman, Itay Levy, and Aaron Tait, the project will be revolutionary based on the AdaSwap Free Finance Model (FFM) that will open the new way not only the Defi space but the finance world.
AdaSwap Token (ASW)
Launched to the public through two rounds of private seed sales, the AdaSwap token (ASW) is the native utility token of the AdaSwap platform that powers all the functions in the Cardano ecosystem.
The tokens are also a Cardano asset, therefore, they can easily be interchangeable with other tokens based on Cardano’s network.
The AdaSwap token will be able to create large returns for holders as well as reduce costs dramatically thanks to the utility of the Free Finance Model (FFM).
As such, the benefit from holding ASW is that users will be able to easily swap tokens on the AdaSwap DEX and take advantage of arbitrage opportunities in real-time. Besides, it will save on transaction fees as AdaSwap offers free services to their token holders.
In simple terms, there will be no participation fee, transaction fees, or any other charges to ASW token holders.
In addition, ASW token holders will be also rewarded with airdrops.
In order to achieve its ultimate goals, AdaSwap will launch four products to start.
Decentralized Exchange (DEX)
The DEX will provide features including AMM DEX, token swap, staking pools, yield farming, and FFM.
As mentioned, AdaSwap is the first AMM built on the Cardano blockchain allowing users to swap cryptocurrency tokens and stake funds in liquidity pools to earn fees.
Since being powered by AMM, swapping tokens on AdaSwap DEX will be in a completely decentralized and non-custodial way.
This means users can swap crypto tokens without giving up custody of their assets to the platform. AdaSwap DEX removes all intermediaries to make token swapping a smooth process.
Since ASW token holders can use AdaSwap DEX for free, AdaSwap’s model will restructure the way users generate and maintain wealth.
The AdaSwap launchpad is developed aiming to build an interoperable Defi ecosystem on the Cardano blockchain. It will solve the scam issue, prevent rug pulls, and protect the community.
The AdaSwap Launchpad will use metrics, the team behind it, use-cases, roadmap, updates, and business development, and among others to examine projects.
After being checked by AdaSwap’s strict review process, the qualified projects will be listed on their platform, therefore, it can give investors the legitimacy of the listed projects.
On the other hand, with the goal to give all of the best tools possible to allow new creators to grow while giving investors and users early bird access to new innovative projects, the investors will be able to invest in legitimate projects.
Also, the decentralized application (DApp) developers will be able to raise funds and exchange capital for developing their projects.
AdaSwap will be the one among the first NFTs marketplaces to offer an exclusive NFT collection and a dedicated NFT marketplace to promote renowned brands.
The NFT project will be launched in 2 stages including the launch of AdaSwap’s own Graffiti NFT series which will be traded on the AdaSwap App the first stage and the next is the launch of the AdaSwap NFT marketplace, allowing more people to join and trade NFTs on the Cardano network.
Stake And Forget (S&F)
S&F is a feature that has not been seen before on any DEX.
The feature will be fixed, long-term liquidity pools that users will be able to use for staking. This liquidity pool is linked to the launchpad. Non-active traders can make money by funding projects on Cardano. S&F will be a revolutionary offering that will create wealth for AdaSwap users.
When staking in S&F liquidity pools, users will receive not only the regular ROI (APR/APY) but also bonus rewards for stakers aiming to provide capital to projects listed on the AdaSwap Launchpad through automatically airdropping tokens feature that is held on the platform for liquidity pools.
To explain the automated airdrop mechanism, projects will have to pay a small fee to be listed on AdaSwap, then this fee will be distributed to S&F liquidity pools. The rewards then will be airdropped to the S&F liquidity providers after the staking period ends.
Despite being one of the most popular blockchain projects, Cardano remains one drawback that does not have a native decentralized exchange for allowing the seamless exchange of Cardano-based tokens or does not a launchpad to help Cardano projects to raise capital and boost their development.
AdaSwap is the next-generation cryptocurrency platform that is going to make Cardano’s ecosystem easier to use with its creator and community tools. Its ultimate vision is to be the backbone of Cardano, allowing users to sell artwork, stake tokens, launch projects, and earn interest in the ecosystem.
The platform will be among the first to launch options for users to trade native Cardano tokens. It will also be the only DEX protocol going cross chain with any ETH token allowing the token will have access to higher trade volume.
After the launch of smart contract compatibility on Cardano in September, AdaSwap is in the top 3 most looked at crypto projects on ‘Building On Cardano’ at that time among 62 high-quality projects listed showing how many people are excited about the project.
In addition, Coin98 Analytics also listed AdaSwap in the top 20 decentralized exchanges.
AdaSwap is also going to close its seed fundraising round at $ 1.5 million with the participation of many investors in the industry, including COTI, iAngels, Cardstarter, Israeli Blockchain Association, Banter Capital, among others.
With a great set of tools, and solid funding, AdaSwap is well placed to grow. To learn more about the platform, please click here!