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Breaking News: Bitcoin, Ethereum, Solana Rally Towards All-Time Highs: Top Analysts Share Predictions
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Breaking News: Bitcoin, Ethereum, Solana Rally Towards All-Time Highs: Top Analysts Share Predictions

This Is How Cardano’s First DEX Will Try To Disrupt DeFi

Reynaldo Marquez
Reynaldo Marquez
4 years ago
2 mins read
Cardano ADA ADAUSDT

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As Hard Fork Combinator (HFC) “Alonzo” approaches, more DeFi projects are emerging for Cardano. A few days ago, Input-Output Global (IOG) Marketing and Communications Director, Tim Harrison, said there is a “huge” interest from developers towards the platform and its smart contract capabilities.

In that sense, a team of developers led by Ryan Morrison from Quant Digital launch Cardax. A project conceived to be Cardano’s first decentralized exchange. According to an official post, the project is seeking $50,000 to finance the development of Cardax. The proposal has been made via Cardano’s Project Catalyst Fund 4.

Morrison is a stake pool operator on this network with a background in marketing. His team is formed by “crypto enthusiasts” with experience working on projects like Celsius, Open Ocean, and Bitcoin EU, per the official post. They have set out to build a DEX with the following characteristics:

Cardax is a decentralized exchange that will be powered by the Extended Automated Market Maker (EAMM) protocol. It aims to provide liquidity to projects that issue native tokens on Cardano. (…) which brought native tokens and multi-asset support to Cardano, there is an increased need to develop a native exchange.

Cardano’s First DEX Roadmap And Features

The team behind Cardax seeks to meet some of the “challenges and gaps” for Cardano and its ecosystem. In that way, they also seek to increase the platform’s corporate use cases and increase adoption in the DeFi sector.

The project will develop 7 key features: support for any Cardano native token, introduced with the previous HFC events, Allegra and Mary; give liquidity providers the capacity to received fees collected on the DEX; leverage EAMM protocol for liquidity-sensitive automated pricing; the ability to trade with ADA and other native tokens via Yoroi wallet; single transaction trading, and single transaction transfers.

The project will have 6 phases of development. These will be comprised of the creation of the user interface, user experience, the system logic, and “must-have features”, to security, backend, protocol, and a final phase for testing and development. The teams added:

The requested budget in Fund 4 ($50,000) will cover the implementation costs of Phase 1 of the project. As outlined above, this phase will focus on the system architecture and UI/UX of Cardax.

Unlike centralized exchanges and its future competition in the DeFi sector, Cardax will seek to leverage a model with an order book and an automated market maker (AMM). Users will be able to benefit from the dual model. The DEX will allow them to be market makers with minimum slippage and risk of impermanent loss. Cardax team said:

With the increasing adoption of Cardano and ongoing initiatives to support DeFi, a Cardano-based DEX will serve as an essential and powerful trading venue in the ecosystem.

ADA is trading at $1,21 with side movement in the hourly chart, and a downtrend on higher timeframes following the general sentiment in the crypto market.

Cardano ADA ADAUSDT22
ADA follows the general sentiment in the market on the daily chart. Source: ADAUSDT Tradingview
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Reynaldo Marquez
Reynaldo Marquez

Reynaldo Marquez

A literature major, Reynaldo Márquez has been deeply immersed in the crypto industry since 2017. His journey began with translating articles for various crypto news outlets, a role he took on with zeal. In 2018, amidst a challenging market, he embraced his first writing assignment, demonstrating his unwavering commitment to the nascent industry and the promise of change it bears for many people worldwide.
In March 2021, he joined the prestigious crypto news outlet NewsBTC and Bitcoinist, where he not only reported on the latest crypto news but also had the privilege of interviewing some of the industry's most influential figures. A year later, his dedication and hard work were recognized, and he was promoted to Managing Editor, a position he currently holds with pride.
He believes in honesty, good communication, hard work, and the power of cryptocurrency and its potential to transform people's lives, especially those alienated by the legacy financial system. Born in 1992 in Venezuela, Reynaldo is familiar with how governments and central banks can negatively affect people, their everyday lives, and their futures by creating inflation and erasing their hopes for a better future. Thus, like many Venezuelans, he embraced this new technology to help him and his family navigate difficult times.
In another life, Reynaldo would have pursued a career as an investigator, most likely tracking down the origins of the Cyberpunk movement with the publication of William Gibson’s ‘Neuromancer.’ The intersection between fiction and reality, with the materialization of Bitcoin in 2009, would have allowed him to dive deep into the crypto sphere as something more than a financial phenomenon but also a cultural shift in society that was brewing since the XX century, and maybe even sooner, in the XIX century with the publication of Henry David Thoreau’s ‘Civil Disobedience.’
But that’s for another life. In this one, Reynaldo has been trading to improve his trading skills. Since 2023, he has been trying to learn Python to create successful strategies and find ways to execute them. It is a difficult task, which continues to keep him busy today and will most likely continue to keep him busy in the near and long term.
In his free time, he enjoys lifting heavy objects, reading, watching movies, and listening to his favorite music. Some of his favorite authors are Walt Whitman, William Faulkner, Allen Ginsberg, James Baldwin, Raymond Carver, Ray Bradbury, George Orwell, Mario Vargas Llosa, Reinaldo Arenas, Rafael Cadenas, and many others. Lately, he has been primarily interested in reading about dystopic societies, a topic that deeply resonates with the crypto industry.
Since 2023, he has lived in Spain with his wife. He loves the weather, the food, and the people and their culture. They both expect to travel much more within the country they now call home and beyond its border. He hopes to retire with his wife, maybe in a quiet place near a beach, but most likely in a city close to a library and a university with his kids and, hopefully, grandkids.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

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