Polkaswap PSWAP

To learn more about this project, check out our deep dive of Polkaswap.

What Is Polkaswap (PSWAP)?

Polkaswap is an open-source, non-custodial decentralized exchange (DEX) protocol. The automated market maker (AMM) project was founded in July 2020 and had its soft launch in April 2021 with a focus on interoperability.

Polkaswap was built on the Polkadot network via the Sora Network, which utilizes the Hyperledger Iroha v.2 technology, thus giving Polkaswap better liquidity and security.

Who Are the Founders of Polkaswap?

The Polkaswap project is being developed by a grant from the Web3 Foundation. Polkadot, the mother chain on which Polkswap is built, was also a recipient of the Web3 Foundation funds. In June 2020, Soramitsu Helvetia AG (SORAMITSU) announced that it had begun contributing to the open-source codebase for Polkaswa.

SORAMITSU is a Japan-based blockchain company behind the codebase of Polkaswap. It built the project on the Polkadot network to leverage its interoperability feature without compromising its ability to facilitate quicker trades than any other blockchain. The company had previously worked on the Kagome project (the C++ implementation of Polkadot Host) with the Web3 Foundation.

What Makes Polkaswap Unique?

Polkaswap is a DeFi project built on the Polkadot ecosystem exclusively designed to support faster trading without the need for any intermediary to facilitate them. As a DEX, Polkaswap offers some outstanding features that make it difficult to pass by.

While the majority of DEXs are built on top of Ethereum’s blockchain, Polkaswap goes the Polkadot way. Polkaswap establishes interoperability between multiple blockchain bridges and can allow users access to ETH and ERC-20 tokens, DOT and KSM, BTC, BSC, and any other token the project integrates in the future.

Another benefit Polkaswap enjoys by being built on the Polkadot network is cheaper gas fees. Sora Network supports a Polkadot Substrate infrastructure that enables a mining-free consensus mechanism.

The Hyperledger Iroha v2 adopted by Soramitsu gives Polkaswap the capability to support a voting-based consensus algorithm, for a faster, yet secured consensus model. This results in faster transactions.

In addition to these unique offerings, users can also earn from their assets on Polkaswap by supplying liquidity to its pools, also known as liquidity mining. These features have made some refer to Polkaswap as the Uniswap of the Polkadot ecosystem.

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How Many Polkaswap (PSWAP) Coins Are There in Circulation?

PSWAP is the native token for Polkaswap. The tokens are minted based on a deflationary model on the network; they burn more tokens than they mint. Polkaswap uses the 0.3% fee on every swap to buy back PSWAP which are then burned.

Since its launch, 90% of burned PSWAP tokens have been re-minted and allocated to the liquidity providers However, by 2025, only 35% will be allocated back to liquidity providers.

Currently, 36% of the total supply of 10 billion max supply of PSWAP tokens is in circulation. That stands at 3.65 billion PSWAP tokens. PSWAP is also used for liquidity staking on the network.

The distribution of PSWAP tokens is as follows: 35% as liquidity rewards (vested); 30% at initial release development; 25% for token bonding curve rewards (vested); 6% rewards at launch (sora farm game); 4% for market-making rewards (vested).

How Is the Polkaswap Network Secured?

Polkaswap takes full advantage of the Polkadot blockchain’s security. The Hyperledger Iroha v2 on which Polkaswap is built provides a multithreaded and scalable architecture for the network.

The Polkaswap network adopts the Sumeragi voting-based consensus algorithm, which is more scalable and less expensive than the Ethereum blockchain. The fault tolerance mechanism of Hyperledger Iroha v2 provides Polkaswap with both speed and integrity of transactions on the chain.

Where Can You Buy Polkaswap (PSWAP)?

At the moment, Polkaswap (PSWAP) cannot be directly purchased with cash. PSWAP can be bought by using swapping cryptocurrencies on exchanges. With your existing crypto, you can purchase PSWAP on Uniswap (V3), Uniswap (V2), 0x Protocol, 1inch Exchange and Bilaxy.

Learn more about Polkaswap in our deep dive here.

Cryptocurrency newbie? You can read more about how to enter the market and how to buy BTC, PSWAP or any other token. Check out the details here.

Telegram group: https://t.me/polkaswap

Github: https://github.com/sora-xor/polkaswap-web