Oct 31, 2021
PolkaBridge AMM Launching Soon!
An automated market maker (AMM) is a type of decentralized exchange protocol that relies basically on a mathematical formula to price assets. Instead of using an order book like a traditional exchange, price algorithm determines the way assets are priced.
An AMM can be said to be a peer-contract platform, An AMM works similarly to an order book exchange in that there are trading pairs in normal centralized exchanges — for example, ETH/USDT. However, with AMM, you don’t need to have another trader on the other side to make a trade. Instead, you interact with a smart contract that “makes” the market for you.
The PolkaBridge is a blockchain protocol, more like a multichain and cross-chain decentralized all-in-one platform. PolkaBridge enables users to swap tokes on the DOT platform to token on other chains and vice versa. In addition, polkaBridge enables liquidity providers to earn 90% of transaction fees.
Multi-Chain Automated Market Maker (AMM)
PolkaBride is making a multi-chain Automated Market Maker (AMM) type decentralized exchange, which will allow the users to simultaneously swaps and trade assets on several blockchains. It is going to be the top PolkaBridge product. It will support Ethereum, Polygon,Solana, Polkadot and Binance Smart Chain (BSC) after full deployment.
Cross-Chain Automated Market Maker (AMM)
Next after multi-chain AMM type decentralized exchange, the next step would be the development of cross-swap functionality on it. Essentially, it’s the ability to swap one asset on one blockchain with another asset on the other blockchain, without using any intermediary or third party. For instance, you want to exchange Ether (ETH) on the Ethereum blockchain with Polkadot (DOT) on the Polkadot blockchain.
For the primary Polkadot base, PolkaBridge uses Moonbeam’s parachain solution, allowing Ethereum compatible smart contracts to run on Polkadot and allowing the protocol to maintain a connection. In summary, PolkaBridge will use two smart contracts running in parallel to swap: one on Polkadot, the other on the corresponding blockchain e.g Ethereum. The same principle will be utilized to connect to Solana, Binance Smart Chain and Polygon also.
PolkaBridge AMM Contract has been successfully audited by Certik. Check out the report
The PolkaBridge AMM will be launch on the 3rd of november 2021.
Stay tuned!
