In less than 200 epochs, the Babylon upgrade of the Radix network will happen, and smart contracts will be enabled. Many things will change and become possible, so what can you expect from DefiPlaza?
Today, we’d like to talk about two things:
- DefiPlaza DEX on Radix
- Native LP tokens on Radix
- Migrating DFP2 on Radix to enable Babylon features
DefiPlaza DEX on Radix
DefiPlaza will not launch on day one after the Babylon upgrade.
The smart contracts are ready, and we are finishing up the UI and doing the final integration tests. However, we are waiting for the audits and will only launch with them to ensure our DEX is safe and secure.
We expect DefiPlaza to launch on Radix around the half of October.
DefiPlaza will launch with a novel algorithm that is actively trying to reduce IL and thus optimize the net income of LP providers after IL. On Ethereum, both the DefiPlaza pool and the StablePlaza pool have a fixed set of tokens, but on Radix, everyone can create their own pair.
Liquidity can be provided single-sided; each pair features DFP2 as a counter token. DFP2 will act as an internal LP token to make hops between pairs possible.
Native LP tokens on Radix
We haven’t announced this before; DefiPlaza will use the native liquidity pools offered by Radix!
We found a way to support both single-sided and concentrated liquidity and still use the native pool units, which is really cool.
Using the native LP tokens means that you will always see the value of your liquidity inside the official Radix wallet and will always be able to directly redeem your liqudity without going through the DefiPlaza dApp.
Migrating DFP2 on Radix to enable Babylon features
To use the latest features of Babylon, we have decided to migrate our current DFP2 token to a brand new “Babylon-upgraded” DFP2 token. We’ll enable burning of DFP2, slightly update our meta-data (yes, including a new token icon!), and ensure the token is future-proof.
We could have kept the current DFP2 token, but it will limit us in the future. We see many other projects decided to upgrade their tokens, and we’ll take the opportunity to join.
We’ll provide a link to migrate your Olympia DFP2 to Babylon DFP2 once the migration process is live after the Babylon upgrade.