A short overview of the Maiar DEX by Elrond Network
Maiar Exchange, a decentralized exchange (DEX) and Automated Market Maker (AMM) built by Elrond's team.
The bigger part of today's crypto enthusiasts came first into crypto through a CEX, a centralized exchange, such as Binance, Coinbase, Kraken, Huobi, FTX, Kucoin, etc. This is ok for a start, and for easier on and off-ramp, but following current narratives about centralization and the latest developments in DEX technology and accessibility, things are about to change. This is where the Maiar Exchange comes into play.
How the Maiar Exchange works
AMMs are part of the decentralized finance(DeFi) ecosystem. They allow digital assets to be traded in a permissionless and automatic way without the need of a third party by using liquidity pools(LP) rather than a traditional market of buyers and sellers. You could think of an AMM as a bot that’s always willing to quote you a price between two assets. Anyone can participate in an AMM and generate income based on their contribution. Inside an LP, a mathematical formula is responsible for pricing the assets instead of intermediaries maintaining an order book.
As a DEX, Maiar allows users to swap their crypto assets. As it is built on Elrond, we can rest assured that the transactions on Maiar DEX are near-instant with minimal cost.
Elrond network is highly scalable and fast, also, the first blockchain with state sharding architecture. Technology that is still in development in other chains like Ethereum 2.0. Anyone who wants to understand sharded DeFi should pay attention to Maiar Exchange.
By providing liquidity in Maiar, you get LP tokens, as on most DEXes. But uniquely in the space, the LP tokens on Maiar are tradeable, meaning that you can provide liquidity, sell your position, or take a loan against it, using your LP tokens as collateral.
You can use the Maiar App to log in and sign transactions on the Maiar Exchange. Said to be as secure as a Ledger hardware wallet and as convenient as Face ID. Additionally, Maiar is super easy to use, automatically and securely creates a wallet in seconds, using just a phone number(not shared, only a hash of it is used one time for wallet creation).
By the time of writing, the Maiar Exchange is sitting on a $1.45 billion TVL, according to DeFi Llama. There's much more to expect from Elrond's first DEX. Once the DEX went live in mid-November, the network rapidly made new records of usage. Hundreds of thousands of transactions were made every single day.
While the exchange is maturing, the team, as always, is hard at work trying to address all the issues that come with innovation. Achieving true decentralization and building an internet-scale blockchain, is not an overnight job.
Tech Visionary & Entrepreneur, Founder & CEO @ Nezo Global