IX Swap is a full-featured DeFi-based Automated Market Maker (AMM) built for Security Token Offerings (STO) and Tokenized Stock Offerings (TSO).
These tools were created fill in the missing gaps in the infrastructure needed to bring about the resurgence of STOs amid traditional processes, such as security tokens and tokenized stocks, having massive potential.
IX Swap IEO Is Available on KuCoin Exchange
The project plays a role as the connection of DeFi and CeFi to look for solutions in bringing much-needed liquidity to the STO market. With the addition of borrowing and lending capabilities and market making, it will help to accelerate the development of interest in the DeFi as well as the use of tokenized assets.
IX Swap offers Automated Market Maker (AMM) functions and other liquidity pools to bring liquidity to the STO space. IX Swap will offer two types of liquidity pools, including one is for custodial assets (STO and TSO) and another is for non-custodial assets (cryptocurrencies).
For custodial assets, there’s a third-party licensed custodian that will oversee the process and ensure all necessary rules are followed. For non-custodial assets, users are enabled to be able to stake their tokens to provide liquidity and receive a share of the fees.
Borrowing and lending for idle assets will be handled on IX Swap. The borrowed amount will be a percentage of the asset’s current market value and lenders will receive the full amount plus interest back that is similar to traditional markets through a smart contract, which releases the collateral once the loan is paid back.
In addition to providing impermanent loss insurance by 8% of funds allocated for the ecosystem to the IL insurance fund, the project will charge 5% of trading fees, as well as 50% of all penalties for early termination of liquidity provision.
What Is the IXS token?
IXS is the native currency for IX Swap and is distributed as incentive rewards to ecosystem contributors aiming to keep them to continue engaging with the platform.
IXS paired pools not only will have raised returns over non-IXS paired pools but they have also added an impermanent loss mitigation feature in place.
It is required to use the token for on-chain governance capabilities in the management and implementation of changes unless the token will be the native payment token on the InvestaX CEX Platform.
Do STOs and TSOs Have the Potential to Replace the Existing System?
Considered to have massive potential when compared to the traditional securities systems, the IX Swap platform is looking to make a splash in the industry by bringing users’ interest back into the decentralized security tokens and stock scene through liquidity and other functions.
The foundation of knowledge is building it on is very solid. IX Swap was developed by a team of three well-experienced professionals, including Alice Chen, Aaron Ong, and Jules Kwan.
Alice Chen has previously worked at major international firms and she has brought over 17 years of corporate and legal experience to found IX Swap.
Before entering the cryptocurrency industry, Aaron Ong has over 8 years of capital market and investment advisory experience at top-tier banks playing as an advisor and investor across all asset classes.
During his 20-year career, co-founder Jules Kwan has founded 6 companies including in the blockchain space. He has many years of knowledge with security tokens and builds platforms for the digital world.
Although security tokens and tokenized stocks currently represent a fraction of the total private capital market, STOs and TSOs are expected to bring huge benefits over traditional processes.