What is Cashmere Exchange? Cashmere Exchange is a cross chain Dex Aggregator platform that allows users to swap any asset between chains. Let’s find out what is special about this project with Weakhand in this article.
Before reading this article, everyone can learn about 1inch and Rango Exchange to gain more knowledge about Dex Aggregator.
- What is 1 inch? 1inch Cryptocurrency Overview
- What is Rango Exchange? Rango Exchange cryptocurrency overview
What is Cashmere Exchange?
Overview of Cashmere Exchange
Cashmere Exchange is the platform DEX Aggregator Cross-chain allows users to swap any assets between chains. Currently, Cashmere Exchange supports 7 blockchains including: Avalanche, Polygon, BNB Chain, Ethereum, Fantom.
Cashmere Exchange uses LayerZero’s technology to transmit messages between blockchains helping users achieve security during transactions. In addition, Cashmere Exchange also supports MEV resistance to help users avoid losing orders due to bots causing large price slippage during the transaction process.
What is the difference between Cashmere Exchange?
Cashmere Exchange is the only application that supports both Cross-chain Stableswap and Aggregator in the application at the same time.
An interesting point is that Stableswap uses liquidity directly on the Cashmere Exchange platform itself. Users can provide one-sided liquidity (single-sided liquidity) for Stablecoins supported on the platform such as: DAI, USDC, FRAX, USDT, BUSD, TUSDT and can further increase APY when combining staking CSM tokens (main token of the platform).
In addition, Cashmere Exchange uses an interest rate equalization mechanism between Pools where pools with high Liquidity will receive less profit from CSM tokens.
For swapping any 2 tokens on 2 chains. I will give the following example so everyone can better understand the operating model on Cashmere Exchange:
For example: Alice wants to swap ETH on the Avalanche network to USDT on the Polygon network.
- Step 1: All of Alice’s ETH was transferred to 1inch on Avalanche by Cashmere Exchange to be swapped into USDT.
- Step 2: Cashmere Exchange proceeds to transfer all USDT to the USDT Avalanche Pool and notifies the relayer that the process is complete.
- Step 3: The Relayer notifies Cashmere Exchange on the polygon network to transfer USDT to Alice corresponding to the amount on the Avalanche network.
- Step 4: Polygon USDT Pool transfers the corresponding amount of USDT back to Alice.
Core Team
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Investor
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Tokenomics
CSM has not launched a token yet but there is some basic information about CSM as follows:
Token Allocation:
Token use case:
- Staking CSM receives veCSM to have the right to vote on governance on the platform and receive rewards in the form of transaction fees.
- Increase APY when providing liquidity on the platform.
Information Channel of Cashmere Exchange Project
- Website: https://cashmere.exchange/
- Twitter: https://twitter.com/CashmereLabs
- Medium:
summary
In my opinion, Cross chain Dex will be the trend of Dex floors in the future because of the benefits it brings. Cashmere Exchange is also one of the leading projects in this field. However, at this time the project has not officially mainnet so it is not possible to evaluate the effectiveness of the project for users. Hopefully the information I have provided in this article has helped everyone to have some idea about Cashmere Exchange.