The Abey Foundation has added XSwap on top of the ABEYCHAIN.
Abey Foundation Launches the XSwap DEX
XSWAP is a fully decentralized exchange, the first financial dApp to be deployed by the ABEY Foundation on the cross-chain platform with over 100k users.
It is a launch meant to trigger and accelerate the building of even more DeFi dApps in the days ahead.
Riding on the decentralization, scalability, and security of ABEYCHAIN, XSwap resolves challenges facing other DeFi dApps in legacy smart contracting platforms like Ethereum.
The inability to scale on-chain has been consequential to users, diminishing their user experience through unnecessarily high transaction fees.
XSwap developers are releasing a financial dApp with a new trading model. It incorporates an innovative liquidity protocol and an ingenious Automated Market Maker (AMM) system that DeFi users have supreme control over.
This is a notable diversion from the operation of centralized exchanges. There, custody of assets and complete control of the ramp’s development can, at any time, compromise the system’s safety, markedly leading to censorship or hacks. XSwap is designed to be much more secure.
Leading Innovation in Liquidity and Price Discovery
Most importantly, XSwap is satisfactorily tackling the liquidity problem using a well-thought-out incentivization model.
XSwap has put in place a system in which traders are incentivized to utilize the protocol before becoming liquidity providers using their algorithmically defined liquidity pool.
A fund from the digital assets supplied by the liquidity provider facilitates the execution of trades on the DEX.
And it gets better.
The buyer or seller doesn’t have to wait for the counterparty to complete a swap. Trading will be quick due to the pool’s algorithmic definition, which is directly influenced by the pool’s liquidity. The higher it is, the more instantaneous the swap will be.
The XSwap AMM model will price assets depending on market forces.
However, the biggest takeaway in this price discovery system is that while demand and supply factors play a role, pricing will also depend on the ratio of coins in the respective pool.
XSwap’s algorithm would determine individual token prices. Liquidity providers supplying assets to decentralized pools will receive payment either in XSwap’s native token, XT, or any other token of their choice.
Leveraging ABEYCHAIN’s Security, Scalability, and Interoperability
All the same, the game-changer for the XSwap DEX is their launch from ABEYCHAIN. The ledger is an interoperable public chain employing a hybrid consensus algorithm set specifically to process high-volume and high-speed transactions.
High throughput capability translates to execution efficiency and flexibility—a feature that XSwap will draw maximum benefits from.
Regardless of how intensive the DEX will find adoption, the operation will be seamless. Additionally, transaction fees will remain consistently near-zero, an attractive feature that could see more users adopt crypto and DeFi.
Concurrently, due to ABEYCHAIN’s interoperability, the exchange can facilitate the swapping of its ARC-20 tokens and other multiple cross-chain assets like BTC, ETH, LTC, DOT, AST, and BNB.
These tokens and coins are the most liquid in the crypto space and held by most traders. As a result, it is highly likely that traders would be drawn, keen to swap with ABEYCHAIN’s ARC-20 tokens seamlessly from a highly responsive interface.
Easy Access Via ABEY Wallet and MetaMask
Besides the array of tokens supported, XSwap is open-source in the spirit of crypto and blockchain, driven by its growing community.
Accordingly, all tokens would be under the control of traders’ non-custodial MetaMask and ABEY Wallet. To interact with the DEX, a user has first to purchase ABEY.
The coin will be used to pay Gas—an arrangement similar to other DEXes.
The only difference is that the threshold for participation isn’t high as on-chain fees are relatively negligible. Regardless, there will be subtle changes in Gas payment depending on on-chain activity.
XSwap’s XT Tokenomics
There are 1.2 billion XT tokens distributed to liquidity providers on XSWAP.
The token will be primarily for governance, where holders will vote on proposals like fees structure directly impacting operations. Consequently, XT token holders shape the project’s trajectory.
The first XT airdrop was completed on August 17 and concluded in less than four hours. Abey Foundation says the XT token would soon be listed in other exchanges.