With the Exhausting Fork Combinator (HFC) ‘Alonzo’ approaching, more decentralized finance (DeFi) intermediaries are emerging for Cardano. A few days ago, Tim Harrison (Director of Communications and Marketing at Input-Output Global) said that there’s a huge interest displayed by developers towards the platform as well as its smart contract capabilities. A team of developers which was led by Quant Digital’s Ryan Morrison launched Cardax, basically a challenge which is conceived to be Cardano’s very first decentralized trade. The proposal made Cardano’s Venture Catalyst Fund 4 is looking for $50,000 that will be used to finance the Cardax.
Decentralized finance is essentially a blockchain-based form of finance which doesn’t rely on financial intermediaries like exchanges, brokers or banks in order to offer traditional financial instruments, and instead uses smart contracts on blockchains. The most common one being Ethereum.
Cardano has managed to be counted as a part of the top 10 cryptocurrencies of the world by market capitalization in a short time. With a market capitalization of more than $41 billion, it ranks 7th and accounts for about 2% of the cryptocurrency market. According to CoinGecko, on April 14th 2021, Cardano hit an all-time high at $1.55.
Cardano DEX Roadmap
Morrison, a stakeholder operator in Cardano, and his team consisting of crypto enthusiasts that have experience working on projects like Open Ocean, Bitcoin EU and Celsius. The Cardano DEXteam wants to fulfil a few gps and challenges for Cardano’s ecosystem. The team has proposed to build a DEX that has the following characteristics:
- help for any of the Cardano native token which was launched with the previous HFC occasions, Mary and Allegra
- provide liquidity suppliers with the ability to obtain charges collected on the DEX
- Harness the EAMM protocol for liquidity-sensitive automated pricing
- the flexibility to do business with ADA & different native tokens by way of Yoroi pockets
- single transaction buying and selling
- single transaction transfers
The challenge can have 6 phases of improvement which will probably comprise the creation of consumer interface, the system logic, consumer expertise and must-have options, backend, safety, protocol along with a last section for testing as well as improvement.
The Cardax team said that with the accelerating adoption of Cardano as well as ongoing initiatives to back DeFi (a Cardano-based DEX) will serve as an powerful trading venue in the ecosystem.
The budget for the challenge is $50,000 is supposed to cover the cost of implementation of the first Phase 1 of this project. As described above, the focus of the first phase will be on the Cardax UI/UX (User Interface and User Experience) and system architecture. Unlike other centralized exchanges and their future competition in the Decentralized Finance sector, Cardax will be looking at leveraging a model with an order book as well as an automated market maker (AMM). Users of this platform will be able to harness from the dual model. The Cardano DEX will enable them to be ‘market makers’ with non-permanent risk of loss and minimal slippage.
Cadano 2021’s Alonzo and Daedalus update
On April 1st 2021, Cardano’s team announced the finalization of Alonzo rule integration with the ledger. Moreover, it also investigated the integration with consensus and Plutus while fixing some value of minUTxO properties in Alonzo. The Cardano DEX team also announced the release of Daedalus version 4.0.3. The new version adds features like multi-asset option that enables users to send as well as receive native tokens as ‘Cardano’.
The release also includes the countdown to support for Trezor devices with passphrases, fully decentralized block production, a feature to view wallet public keys and an enhanced CSV export process, along with a few minor improvements and resolutions to some issues. ADA is buying and selling at $1.21, with facet motion that’s within the hourly chart. A downtrend on greater timeframes after the final sentiment in the crypto market.
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