Just three days ago, the first DEX on Kusama called KaruraSwap officially started to work. Karura decentralized exchange is also the first parachain slot on Kusama which could successfully start operating. With the introduction of Karura, users can now trade KSM tokens as well as paying transaction fees using KSM.
Karura Decentralized Exchange
In order to get this parachain, Karura has allocated more than 500k KSM through crowdloan which is backed by the project community. This shows the power of Karura and its adoptions in Polkadot community. Karura has just started to work. Therefore, it has plans to add stablecoins loans, create kUSD cryptocurrency, LKSM staking option and liquidity mining programs in future. Furthuremore, users can trade without the need for trust and liquidity providing in KaruraSwap.
One of the Karura’s attractive features is running a pair of tokens for trading in bootstrap mode. This mode is a round in which pools receive notable amount of liquidity. This would help to protect scams and market abuse.
Using bootstrap mode, Karura intends to support trading without the need to trust with logical market indicators. This invites users to secure a part of the pool and provide liquidity for a token or both ones. During this round, trading remains inactive till meeting the liquidity conditions. At the end of this round, the exchange index will become public and trading in KaruraSwap will be activated again.