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OOXYSwap
OOXYSwap is the native decentralized exchange (DEX) built on the Vulcan blockchain. OOXYSwap is a powerful tool that allows for the seamless trading of paired tokens on the Vulcan network. Paired with $OOXY token, the native token of the exchange, the DEX will provide users access to all of our products in one place, making it easier for them to explore and utilize the full range of our offerings.
Token swaps in OOXYSwap is a simple way to trade/swap tokens in Vulcan Chain. OOXYSwap is an Automated Market Maker (AMM) and native Decentralized Exchange of Vulcan Blockchain for instant swap of VUL-20 tokens. Users of our platform will pick input and output tokens they want to trade with a specific input amount and our protocol will calculate how many output tokens they will receive.
Our OOXYSwap smart contracts or pairs manages a liquidity pool which has a reserve of two VUL-20 tokens similar to popular exchanges like Uniswap or PancakeSwap. These tokens track pro-rata LP shares of the total reserves, and can be redeemed for the underlying assets at any time.
Token pairs are the automated market makers which accepts input tokens to give equivalent output tokens as long as the “constant product” formula is met which is simply expressed as x * y = k where k is the pair’s reserve balance and state of it must be maintained and not changed. As the k is unchanged, it's also referred to as invariant. This formula has the desirable property that larger trades (relative to reserves) execute at exponentially worse rates than smaller ones.
Token swapping in OOXYSwap let’s users instantly trade one VUL-20 token for another without the need of Central Exchange. Our DEX does not use an order book to determine price or liquidity, instead uses an automated market maker (AMM) to determine rates and slippage.
Every Liquidity Pool in OOXYSwap is a trading pair which consists of two different VUL-20 tokens. When a pool is created, the first person to provide liquidity sets the initial price of the pool and are also incentivised to deposit equal value of both tokens into the pool.
Swaps can occur in OOXYSwap when there is enough liquidity on a trading pair. If there isn’t much liquidity, then the swaps could be either expensive or not possible.
Once the user provides liquidity, they get LP tokens, which will earn rewards in the form of trading fee as their contribution helps the exchange to have enough liquidity for users to perform swaps. When a trade occurs, a 0.19% fee is charged and out of which 0.14% is distributed to all LPs in the pool after trade is completed successfully.
When a user performs a swap on OOXYSwap, they will pay a 0.19% trading fee.
● 0.14% - returned to the liquidity pools to reward LPs
● 0.05% - sent to the Treasury
Last modified 30d ago