Katana DEX is a decentralized exchange based on the Ronin blockchain. From today, its users will be able to trade AXS, SLP, USDC, and WETH and stake tokens in cryptocurrency pools.
Liquidity providers will receive a reward as a percentage of the fees charged by the exchange and a reward in RON tokens (Ronin blockchain coin).
Three Benefits of Working with DEX
- Axie tokens exchange will become easier and faster as it will be carried out on the Ronin blockchain.
- The Axie Infinity project ecosystem will become more independent from third-party wallets and exchanges.
- It will be possible to generate passive income by adding your assets to the pool.
Due to the recent launch of Katana, the exchange now supports:
- Smooth Love Potion (SLP) — a farm token.
- Axie Infinity Shards (AXS) — a game control token.
- Wrapped Ethereum (WETH) — the ETH equivalent of the ERC20 standard.
- USD Coin (USDC) — a stablecoin with a price pegged to the US dollar.
- RON — a new governance token of the Ronin blockchain. Emission is 1 billion. It is needed to pay taxes for gas, vote for the project’s future, and guarantee the decentralization of the project.
To incentivize Katana liquidity, 10% of the total RON supply will be rewarded to liquidity providers who stake their deposits in both SLP/ETH and AXS/ETH.
Half of the tokens will be allocated among all the stakers of the SLP/ETH pool, and the liquidity providers for AXS/ETH will receive the second half. If you are already an AXS staker, you need to re-stake AXS to participate in this pool.
The rewards will be activated this week. Thus, stakers will receive 0.25% of every trade in the pool. Another 0.05% will go into Ronin’s budget. Payments will be in Wrapped Ronin (WRON) tokens since the smart contract works with ERC20 assets.
The developers also plan to launch the RON/ETH pool at the same time. They expect the material incentive to create a whirlpool effect, sucking in AXS, SLP, ETH, and USDC to liquidity pools on Katana.
Why Is RON Needed?
The creators of Axie Infinity noted that today, Ronin blockchain users are given 100 free transactions per day. In the future, they plan to move away from this practice by introducing a small fee for gas — this is where the governance tokens come in.
If you are interested in the project, read our ultimate guide on Axie Infinity, full of in-game screenshots and helpful information! Also, if you want to see more articles about in-game updates, feel free to let us know in the comments below!