Nervos today announced the launch of “YokaiSwap,” a decentralized trading platform, on the mainnet. YokaiSwap is the first Nervos-based decentralized exchange (DEX), marking an important milestone in the network’s evolution as new projects begin developing and launching decentralized apps (dApps) within the ecosystem.
DEXs are seeing significant growth as DeFi continues to take off and crypto users shift their assets from centralized exchanges to decentralized platforms. According to a new Chainalysis report, the value of large decentralized exchanges (DEXs) such as Curve, Uniswap, and PancakeSwap increased by approximately 550 percent between August 2020 and 2021.
Nervos on DeFi
YokaiSwap brings a battle-tested codebase to the network, but with unique farming and yielding solutions that take advantage of Nervos’ speed and interoperability. Assets from other ecosystems can enter the network and be traded and paired for use on YokaiSwap via the Force Bridge, Nervos’ cross-chain bridge.
YokaiSwap, as an Automated Market Maker (AMM), allows users to exchange any whitelisted token on the Ethereum network, including ETH, WBTC, USDT, and USDC, for CKB. Wrapped tokens from other chains, such as ADA and BTC, will be supported in the future as well.
YokaiSwap is the first time users can move their CKB token assets onto the blockchain and earn APY through incentive programs. Users can earn rewards on their deposited and traded assets through LP (Liquidity Provider) Token Farming and Single-Token Staking, either through protocol fees or through daily emissions. LPs are rewarded with the YOK token from the YokaiSwap DEX.
“DEXs are critical in DeFi because they provide liquidity and earning opportunities to the community,” said Kevin Wang, co-founder of Nervos. “We are thrilled to see the YokaiSwap team bring their project to the mainnet, as Nervos continues to welcome blockchain developers, projects, and enthusiasts to our expanding ecosystem.”
Following the success of Force Bridge and Godwoken,
YokaiSwap’s launch follows Nervos’ mainnet release of Force Bridge and Godwoken, Nervos’ Ethereum Virtual Machine (EVM) compatible Layer 2 blockchain. YokaiSwap’s arrival is also expected to pave the way for other major DeFi players, such as Aave and Curve, to join the network in the future, providing even more opportunities and incentives to users.
YokaiSwap is one of the first projects to receive funding from InNervation, a fund that aims to expand the Nervos Network and the larger blockchain ecosystem by investing in early and growth-stage startups developing user-facing blockchain solutions.
The Nervos Network is a set of protocols and a public blockchain that aims to address the most pressing issues confronting blockchains such as Bitcoin and Ethereum today.