Obyte exchange protocol
Oswap.io is an automated token exchange for Obyte largely inspired by Uniswap and Vitalik Buterin's Reddit post. Most exchanges maintain an order book and facilitate matches between buyers and sellers, but Oswap.io removes the need of order book. Oswap.io AAs holds 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. This kind of exchanges are also called as Automated Market Makers (AMM).
- 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