Getting started

Obyte exchange protocol

These docs are still being worked on, some parts may be unfinished

Oswap.io is an automated token exchange for Obyte largely inspired by Uniswap and Vitalik Buterin here. Most exchanges maintain an order book and facilitate matches between buyers and sellers Oswap.io remove the need of order book. Oswap.io AAs hold liquidity reserves of various tokens, and trades are executed directly against these reserves. Prices are set automatically using a mechanism called “constant product market maker” or “x * y = k”, which keeps overall reserves in relative equilibrium and doesn’t require any oracle to run. Reserves are pooled between a network of liquidity providers who supply the system with tokens in exchange for a proportional share of transaction fees.

Features

  • Trade Obyte bytes and public assets

  • Join liquidity pools to collect fees

  • Automated market maker pricing using constant product formula

  • Trade and transfer to a different address in a single transaction

  • Funded through an Obyte grant

Protocol