One thing holders of cryptocurrencies want is a trading service platform that offers them intriguing features, and this is what OneSwap is all about. It is a decentralized Smart Contract-based trading protocol that incorporates limit orders. It is user friendly and this can be seen in the OneSwap Wallet. This trading protocol can work on any platform that makes use of smart contracts.
OneSwap: Its Incredible Features
OneSwap possesses permission-free token listing
In similar platforms, before a token can be listed, it has to go through stringent rules and guidelines. This has deterred a lot of tokens from being listed. In OneSwap, as long as the token ticks the ERC20 standard, it can be listed without payment of any listing fee. Developers do not need to seek for permission before they can create a market.
OneSwap has the automated market making (AMM)
AMM offers users of this platform access to continuous quotations for the market. It easily compiles the selling and purchase prices using a formula. What the aforementioned means is that it works automatically via smart contracts.
OneSwap offers the order book mode feature
In this platform, users are permitted to purchase or sell their orders at a selected price. Every pending order will be kept in the blockchain’s order book. After that, it then carries out transaction matching and settlement based on what the conditions of the orders were.
Doing things this way incorporates a high level of transparency and security into the operations. Every operation such as cancellation, placement of orders and so on have to be verified by the blockchain. This may affect the speed of the transaction, especially when there is a clustered public chain network. The speed of the transaction could also be affected by the fees paid for the transaction.
How OneSwap Governance and Incentive System are Modeled
It was deployed on the Ethereum chain to achieve on-chain governance. It also went ahead to churn out ONES, an ERC20 token. The total amount of the currency in circulation is 100 million. Half of that amount is earmarked for ensuring that the OneSwap ecosystem continues to develop, and the rest is in the hands of the OneSwap team.
The fees that are gotten from transactions or swap on this platform are used for two purposes. Sixty percent of the funds end up in the hands of the liquidity provider. The remaining goes to repurchase the tokens and burn them.
What the aforementioned translates to is that the ONES is a deflationary token. It means that it will continuously be repurchased and burnt. This is to increase the worth of the tokens in circulation by reducing how much is in circulation. It is basic economics law.
How Liquidity Incentive is Designed?
Those holders of ONES that want to earn rewards can decide to put their digital assets in OneSwap’s trading pair capital pool. This will earn them rewards, while they inject liquidity.
Every fund pool possesses an equity token. Those holders of ONES that end up injecting liquidity will be given an equity token.
Originally published at https://hive.blog on October 31, 2020.