This post is the second episode of a two-part series on Cardano DEXes. The list is not complete and may grow in the future. Check the first post here: Cardano DEXes [Part I]
COINLINK
List of Cardano DEXes [Part II]. Coinlink is a cross-blockchain aggregation service on Cardano, Ethereum, Polygon, and Binance Smart Chain (now rebranded as BNB Chain). It channels different Defi protocols into a single solution where users can exchange, lend and borrow cryptos at their leisure.
The Coinlink team thinks that Cardano is the most promising blockchain to date. Extensive research is at the foundation of Cardano, making it an excellent position for future challenges in the Defi space and the entire cryptocurrency industry. Parallel to Cardano, Ethereum will continue to be a significant blockchain in terms of market capitalization and many projects that already exist here. Polygon is now one of the most influential tier 2 chains. Other blockchains are rapidly gaining importance at the moment.
Any aggregation service should be genuinely cross-blockchain. Such a service means implementing their project on different blockchains and linking other blockchains at once when the user executes a transaction.
Yield farming, for example, is a great way to leverage the user’s returns on investment. However, yield farming protocols are often complex to use or access. A user may need to make at least two transactions on the same blockchain, but the most lucrative options may require the user to make three or four transactions and switch between different blockchains. Some tech-savvy users are sometimes on the verge of passing up an exciting investment opportunity just because performance farming is usually too time-consuming and unwieldy.
Coinlink tries to optimize this process taking away the complexity from users and easing the way to a specific yield farming strategy.
MATRIXSWAP
Matrixswap is a decentralized virtual Automated Market Maker (AMM) swap exchange protocol implemented on Polkadot, Cardano, and Polygon [Ethereum Layer 2] blockchain. While most decentralized derivatives trading platforms face liquidity issues, Matrixswap AMM offers infinite liquidity on the blockchain. Matrixswap also offers a DEX aggregator with multi-token trades, allowing users to bundle multiple tokens into a single transaction.
By interacting with Matrixswap via Smart Contracts, users can gain exposure to derivatives for any asset in the market. Matrixswap aims to deploy on two leading blockchains – Polkadot and Cardano. Using cross-chain bridges, they unlock liquidity from different blockchains, allowing investors and traders to achieve capital efficiency.
Matrixswap provides users with an emergency nuclear button (DEX aggregator) to convert multiple (or all) tokens into a single asset in a transaction. The Matrixswap platform’s governance and utility token MATRIX builds upon a deflationary economic design. 50% of the platform’s trading fees will be allocated to token buyback and burning to offset the issuance of reward tokens.
MALADEX
Maladex was formed by researchers, quantitative financial developers, and Haskell natives who wanted to build the future of financial markets. They are firmly grounded in research and believe their experience will create an optimized platform to outperform other DEXs.
For more information on this project and how they intend to achieve it, read the Maladex whitepaper on the site. To distribute their platform tokens most fairly in the community, they chose the Stake Pool initial offering method until the launch of their platform. They’re running the Maladex Stake Pool with ticker [MAL], where you can stake and receive both ADA rewards and MAL tokens.
Why is this project different? They believe that all other DEX offerings are inherently inefficient. That is, they consume far more resources than necessary. They think they have the expertise in quantitative mathematics and Haskell financial development to offer a much more efficient DEX than others. Much more efficient DEX More efficient use of capital will result in better returns, a better user experience, and reflect the current state of the market.
They don’t make price predictions or enter theoretical discussions; they believe Cardano is about generating real change, and that’s why they are pleased with the opportunities and the technology. Unlike most popular projects, they like to engage with their community by answering technical questions to raise awareness. With this experience, they plan to deliver:
- Cryptographic indices
- Performance farming
- Exchanges
- Crypto derivatives
- Synthetic instruments (Synths)
- Platform governance
- Blockchain bridges
DEFIRE
DEFIRE is the intermediary between those seeking execution and those providing the facilities to make it happen. The nature of the value dynamics within this ecosystem flows from order flow originators to execution venues. It is up to the trading agents to send their order flow. DEFIRE algorithmically optimizes this selection procedure, bringing market efficiency to the broader DeFi ecosystem within given Layer 1 networks. They plan to implement a revolutionary DEX. As they move towards decentralizing the governance of their DeFi ecosystem through the introduction of DEFIRE DAO, the CWAP stakeholder community will be able to submit proposals to change the system parameters and vote on them.
MetaDEX
Recently, there have been many exciting innovations in decentralized exchanges (DEX) based on automated market makers (AMMs). When running Ethereum’s somewhat prototypical Smart Contract platform, developers had to limit themselves to using the full potential of quant finance tools or be restrained in practice by massive gas tariffs. MetaDEX tries to solve both by formally verified mathematical analysis, choosing Cardano as the underlying Smart Contract platform.
Balancer-inspired portfolio-pools
Most AMM-DEXs offer only binary pools with exactly two tokens with the ideal 50:50 ratio (the excellent perfect ratio acts as an attractor state; pools always tend toward it). Pools allow liquidity providers to add any number of tokens and adjust their ratios arbitrarily.
Suppose you want to expose a portfolio of 80% ADA, 15% MTDX, and 5% BTC. With binary groups, achieving exposure after these proportions would require an unlikely and fleeting set of circumstances to arise. With portfolio groups (sometimes also known as multiple groups), you can create a group that always tends precisely toward your ideal portfolio.
Bancor-inspired permanent loss insurance and smart tokens
When a token price slides after adding liquidity to the pool, it suffers Impermanent Loss. “Loss” occurs because you would gain more by holding your assets. The loss is “Imperfect ” because it disappears if the token’s price reverses and returns to its previous level.
MetaDEX offers insurance against that: if you qualify and withdraw while at a temporary loss, you’ll get reimbursed the difference, a self-reinforcing feature, as now people don’t have to fear “impermanent loss.”