Cardano Updates

DEXs and ERC20 convertor testnet

You may be aware there is a race at the moment to be the first major DEX (Decentralised Exchange) on Cardano. There are many contenders to the crown, and some have already gone live (MuesliSwap) with many in the final stages of development.

Probably the biggest one that is being followed is SundaeSwap (The Sweetest DEX!) which is now running on the Cardano testnet, aiming to iron out remaining bugs before the go-live date (to be announced).

Why does this matter? DEXs promise to bring an important capability to the Cardano ecosystem, the ability to trade Native Tokens easily, quickly and cheaply. Cardano has a unique benefit compared to other blockchains as it treats tokens issued (such as meme coins like Hosky tokens) as first class citizens (or native) which means they can be created and transacted with the basic capabilities of the blockchain and sent as easily as $ADA.

However until DEXs are in place is is hard to set a market price for tokens and to provide liquidity. Thus this capability will provide a significant advance for the Cardano ecosystem and unlock many other areas of growth in the next 2-3 months.

So what about the ERC20 convertor? This is another important liquidity provider for the Cardano ecosystem providing a mechanism to convert tokens on the Ethereum blockchain to Cardano Assets and vice versa.

The first instance of this for the AGIX token (Singularity Net) is running on the testnet, and details are available in a recent blog posting by Olga Hryniuk.

The converter enables the migration of AGIX ERC20-based tokens from the source network to Cardano. Users can access the converter via a URL and move their tokens in just a few clicks. The converter ‘translates’ an ERC20 token into a native token on Cardano with the same value and functionality, which can be moved into Daedalus or Yoroi wallets to make payments or other transactions. The built-in conversion system allows the tokens to be converted back into ERC20 format, if desired.

Users do not need technical expertise or coding experience to use the converter. They simply access the tool through a URL and then proceed by creating a new account or configuring an existing Metamask account.

Exciting times coming up in the next 2-3 months. Stay tuned.