The demand for a decentralized exchange (DEX) to support the rapidly growing KRC20 ecosystem has been made clear by the Kaspa community. In response, Chainge is soon launching a dedicated DEX service, which will be made available on dapp.chainge.finance. This new service will enable users to easily swap between KRC20 tokens (such as buying and selling a KRC20 token with $CUSDT or $KAS on Kaspa)
One key aspect to note is that the Chainge DEX service will run on Kaspa. Liquidity pools will be hosted on KRC20 and the LP tokens will also be native to Kaspa. Until the KRC20 opcodes for automated market makers (AMMs) are released, the AMM will be simulated through DCRM tech. Once the opcodes are made available, the DEX service will evolve into a full-fledged cross-chain DEX aggregator for KRC20.
The Chainge KRC20 DEX service — Key Benefits
The upcoming Chainge DEX service offers several important benefits:
- Swap Flexibility: Users will be able to swap any amount of KRC20 tokens without being restricted to full order completions, enabling more seamless trades.
- Direct Token Swaps: KRC20 tokens, such as NACHO and KASPY, can be swapped for one another, without the need to use $KAS as an intermediary.
- Attracting External Volume: By introducing $CUSDT trading pairs, the Chainge DEX will drive external volume from other chains into Kaspa, as well as reduce sell pressure on $KAS by offering KRC20/CUSDT pairs.
- Arbitrage Opportunities: The new DEX will create arbitrage opportunities for traders between Chainge and other KRC20 marketplaces, encouraging more trading activity and liquidity.
An important feature of the Chainge DEX service is that it remains fully decentralized. Users will always have full custody of their tokens, as the platform does not generate wallets or seed phrases.
KRC20 Token Swaps Enabling Process
We welcome ambitious and promising KRC20 projects to reach out to us (via official@chainge.finance or via Telegram) if your token is not already on the waiting list (which will make available upon launch). Projects will then be gradually added to the public waiting list and liquidity pools (LPs) will be opened for the project’s token paired with $CUSDT, allowing ANYONE to add or remove liquidity. At the same time, the Chainge team will actively monitor the progress of KRC20 projects and add those that show promise on the waiting list. A public leaderboard will be available for tracking each token’s progress in terms of liquidity.
Swap enabling criteria
- Size of the liquidity pool (sufficient to ensure optimal slippage)
- Number of token holders (adequate to support trading volume)
- Number of wallets contributing liquidity (ensuring LP stability)
- Community endorsement (ensuring optimal visibility)
⚠️ Chainge DOES NOT charge any fees to enable swaps. Instead, the focus is on ensuring a sufficient liquidity to avoid high slippage, which is a common issue on decentralized exchanges with pairs that have low liquidity.
⚠️ While liquidity is the most important factor, the aforementioned criteria are not strictly based on specific individual numbers. Instead, an overall assessment will be made across all four criteria, averaging them to determine if a token is ready for trading. This approach ensures both stability and reliability for traders.
Future Developments
Looking beyond the launch, Chainge will release APIs for developers to integrate the KRC20 DEX service. Chainge is also keeping touch with Kasplex to integrate and aggregate all upcoming KRC20 DEXs, along with new plugin wallets, as they become available.
The launch of the Chainge KRC20 DEX service marks a significant milestone for the Kaspa network and the broader KRC20 ecosystem, offering projects and users greater flexibility, liquidity, and trading opportunities. Stay tuned for the official launch and the opportunities it will bring.
