Madfish, a blockchain company that is based on developing decentralized finance (DeFi) projects, has announced the launch of QuipuSwap, the first decentralized exchange (DEX) in the Tezos ecosystem with on-chain governance for baking rewards, after successfully passing an external LeastAuthority security audit.
The new development was shared with the community via Madfish’s official Twitter handle moments ago. According to the report, users can now add tokens for instant creation of Liquidity Pools, coupled with the ability to earn profits from swaps and baking rewards.
Madfish tweeted, “We have launched QuipuSwap – the first DEX in the Tezos ecosystem with on-chain governance for baking rewards. Add your tokens and create your own Liquidity Pools instantly. Earn profit from swaps and baking rewards, connect your DeFi projects.”
We have launched @QuipuSwap – the first #DEX in the #Tezos ecosystem with on-chain governance for baking rewards. Add your tokens and create your own #Liquidity Pools instantly. Earn profit from swaps and #baking rewards, connect your #DeFi projects. More: https://t.co/NWNcfilzdG pic.twitter.com/dVWrWaaumc
— madfish.solutions (@madfishofficial) March 31, 2021
What Does QuipuSwap Represent?
According to the article captioned in the announcement, QuipuSwap is an open-source automated market maker protocol that provides an interface for the seamless exchange of the digital token XTZ and Tezos-based tokens. This implies that users can add or trade any FA1.2 or FA2 standard tokens seamlessly.
Regarding the motivation behind the solution, the report says as follows:
“The solution is driven by security, decentralization, and scalability principles and serves as a standalone project, and at the same time, as an indispensable tool for the future solutions developed on the Tezos blockchain.”
QuipuSwap is a decentralized protocol governed by the vote of LP holders, benefited from the baker’s rewards, and governed by shareholders.
The report also stated that the QuipuSwap ecosystem comprises five types of users, including liquidity providers, traders, bakers, developers, and voters.
QuipuSwap is useful to the Tezos ecosystem in the following ways:
- Allows adding any arbitrary token-XTZ pair.
- Enables instant token exchanges.
- Allows earning profit from both swaps and bakers rewards.
- Allows to vote for delegates and ban the unreliable delegate.
- Helps developers to build Tezos dapps.