What is Polkaswap (PSWAP)? Everything you need to know about PSWAP

Ethereum is the largest blockchain in the crypto world as of now. However, it is facing the head aching problem of high fees and slow transactions, which severely hinders its growth. Besides different layer-2 solutions to solve this problem of Ethereum, many layer-1 blockchains that offer higher scalability also attracted lots of attention. 

Among them, Polkadot is evaluated as a promising blockchain with impressive architecture to maximize the scalability capacity. Due to this outstanding feature, Polkadot has attracted many projects wishing to be integrated into this ecosystem. Polkaswap is one of these projects. 

In this article, let’s find out what Polkaswap is and Pokaswap’s potential to become an integral part of the Polkadot ecosystem. 

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What is Polkaswap?

Polkaswap is a cross-chain liquidity aggregator DEX. It is part of the SORA blockchain built on the Substrate framework to be compatible with Kusama and Polkadot. Polkaswap acts as a center of liquidity as it allows trading tokens from different blockchains plugged into the Polkadot ecosystem as well as other blockchains (Ethereum, Bitcoin,...).

Polkadot is in the process of obtaining a parachain slot on Kusama and Polkadot. However, it has already been live and users can trade assets back and forth between the Ethereum and SORA blockchain.

How does Polkaswap work?

Polkaswap’s vision is to become a DEX for the Interoperable Future. To do that, Polkaswap has built an architecture that allows it to obtain liquidity from different sources.

Obtain liquidity from inside the Polkadot ecosystem: SORA Network’s parachain offers a bridging pallet compatible with any Substrate based network. This allows seamless trades of assets between Polkaswap and other parachains on Polkadot. As SORA Network’s parachain uses Polkadot relay chain security, the bridge will benefit from the same safety level.

Obtain liquidity from outside the Polkadot ecosystem: Polkaswap has a Hashi Bridge, enabling transferring assets from 3rd party blockchains to the SORA Network. At this moment, Ethereum has already been supported and other chains will be implemented in the future.

What is PSWAP token?

Pswap is the native token of Polkaswap and among the 3 primary tokens of the SORA Network. It is mainly used as a reward for liquidity providers on Polkaswap.

PSWAP has a deflationary model. Polkaswap charges a 0.3% fee/ transaction. All of the trading fees will be used to buy back PSWAP then burn those tokens. The amount of PSWAP that are minted to reward liquidity providers depends on the amount of burned tokens on the same day. Initially, this amount equals 90% of burned tokens but will decrease to 35% after 5 years.

Detailed information about PSWAP token

PSWAP Key Metrics

• Token Name: Polkaswap.
• Ticker: PSWAP.
• Blockchain: Ethereum, Sora.
• Token Standard: ERC-20.
• Contract:
  • 0x519c1001d550c0a1dae7d1fc220f7d14c2a521bb (Ethereum)
  • 0x0200050000000000000000000000000000000000000000000000000000000000 (Sora)
• Token type: Utility.
• Max Supply: 10,000,000,000 PSWAP.
• Circulating Supply: 3,645,263,010 PSWAP.

PSWAP Token Allocation

PSWAP Token Sales

Pswap has no pre-sales.

PSWAP Release Schedule

Updating...

PSWAP Token Use Cases

The main use case of PSWAP is to reward liquidity providers on Polkaswap.  

How to get PSWAP token

At the moment you can buy PSWAP from Uniswap or directly on Polkaswap. Note that if you buy on Uniswap, the gas fees will be much higher. The trading fee on Polkaswap will be more reasonable but you will need to bridge your assets from Ethereum to the Sora chain before trading on Polkaswap. 

How to buy PSWAP token

You can buy PSWAP on Coin98 Exchange by clicking on swap button on the bottom of this article and following these steps:

Step 1: Connect Coin98 Extension Wallet.

Step 2: Select Uniswap

Step 3: Choose coins/tokens for trading

• Search PSWAP
• If the result does not come up, you can paste the contract of PSWAP into the search box: 0x519c1001d550c0a1dae7d1fc220f7d14c2a521bb

Step 4: Adjust the amount you want to swap

Step 5: Adjust the gas fee, then click Approve

How to store PSWAP token

You can store PSWAP ERC-20 on Coin98 Wallet by following these steps:

Step 1: At the main screen of Coin98 Wallet, click Receive.

Step 2: Search for PSWAP token.

Step 4: Copy your PSWAP wallet address and send PSWAP tokens to this address.

Polkaswap Roadmap

Updating...

Team, Investors, and Partners

Team

Polkaswap is built by the team behind Sora Network. They are from SORAMITSU - a global technology company delivering blockchain-based solutions for enterprises, universities, and governments: 

• Makoto Takemiya (CEO and Co-Founder of SORAMITSU): Before SORAMITSU, he worked as a research engineer at ATR's Department of Neuroinformatics. In addition, he has helped different blockchain projects.
• Ryu Okada (Co-Founder and Chairman of SORAMITSU): He worked as a Consultant at Deloitte, was a Founder of an e-commerce startup and financial consulting company, and holds a Japan CPA license.

Investor

Sora Network is a self-funded project.

Partners

Polkaswap is a project supported by the web3 foundation grants program.

Is Polkaswap (PSWAP) a good investment?

I hope that from all the mentioned information, you can get a basic understanding of Polkaswap to start researching more about this project. It is hard to tell firmly whether any project/ token is a good investment or not. However, I will provide you with some key highlights of Polkaswap so that you can do your own research and make your own investment decisions.

• Polkaswap is part of the Sora Network ecosystem, which is developed by a notable company called SORAMITSU. The project is also self-funded from 2017, which can show the team’s commitment to the project.
• Polkaswap is built on Polkadot, a promising blockchain. By the time Polkadot releases the mainnet, Polkaswap can take advantage of the potential growth of the ecosystem to capture value for the project.
• However, the marketing activities seem not to be paid much attention by Polkaswap. The project does not frequently update the progress or plan to the community. Polkaswap might not be a good option for short-term investors as the team stated that this will be a long-term project so they might not take much effort in short-term activities. But you can consider this project if you believe in the long-term value this project can create.

Similar project

Some similar projects:

• Uniswap (UNI): Ethereum-based DEX.
• SushiSwap (SUSHI): Multi-chain DEX.
• Polkadex (PDEX): Another Polkadot-based DEX.

Conclusion

Polkaswap seems to need more time to prove its potential growth. At this moment, it has already been live and you can go to their website to experience their products and make your own evaluation. Among many projects intended to be built on Polkadot, Polkaswap is still a project worth following. Therefore, we can follow its progress and see how it will work after the mainnet on the Polkadot ecosystem.

If you want to have more information about this project, feel free to comment down below. You can also join our community at Coin98 Community to discuss any topic that you are interested in.