Swift Asset Swaps
Cross-Chain Trading Made Easy
Last updated
Cross-Chain Trading Made Easy
Last updated
Babylon has engineered an ingenious platform that is anchored in the realm of decentralized exchanges (DEXs) and automated market makers (AMMs).The cornerstone of this platform is Babylon's advanced DEX aggregator, a tool designed to optimize trades for efficiency and cost-effectiveness.
This robust aggregator combs through live exchange rates from a multitude of DEXs and liquidity sources, offering traders an optimized list of the best trading options for any specific asset pair. This innovative solution elegantly addresses the complex needs of the fast-paced cryptocurrency industry, marking a significant advancement in trading technology.
Babylon is currently concentrating its efforts on incorporating the underlying liquidity/routing solutions provided by Thorchain, Maya protocol, Chainflip and Li.Fi. This bold strategy seeks to unite various trustworthy DeFi multichain solutions under a single, user-friendly, and fair platform. As a result, the platform could potentially offer a wider blockchain support, improved functionality, and a substantial reduction in liquidity and protocol failure risks.
A noteworthy aspect of Babylon's platform is its inclusion of Thorchain, a robust settlement layer that enables swaps across eight distinct chains: Bitcoin, Ethereum, Avalanche, Cosmos Hub, Binance Chain, Dogecoin, Litecoin, and Bitcoin Cash. TC is a layer 1 blockchain built with Cosmos SDK that operates as DEX, allowing users to trade assets cross-chain. When a transaction on Thorchain occurs e.g. from BTC to ETH, BTC is sent into THORChain from the user and ETH is sent out from one of THORChain’s vaults. Once the BTC is received, RUNE moves from the BTC pool to the ETH Pool resulting in double swap (BTC:RUNE, RUNE:ETH). Inbound gas is paid in BTC, outbound fee is paid in ETH. The security of Thorchain is backed by its native token, RUNE, which deterministically increases in value as more and more assets enter the network. This ensures a safe and solid foundation for cross-chain transactions.
Maya Chain's integration offers significant benefits to our DEX. Maya Chain is positioned not just as a viable alternative to Thorchain for Bitcoin swapping but as an indispensable one. Moreover, its successful application in facilitating exchanges between chains like Kuji, Dash, and the upcoming addition of Cardano, underscores protocol's value. We are confident that incorporating Maya Chain will greatly benefit our users and enrich their experience.
Integrating Chainflip into Babylon DEX significantly enhances its cross-chain capabilities, enabling seamless native asset swaps without the need for wrapped tokens. This reduces transaction complexity and risk, while the Just-In-Time AMM protocol ensures users receive competitive pricing with minimal slippage by incentivizing real-time bidding among liquidity providers. Furthermore, Chainflip allows for fast transaction execution and the unique ability to swap assets without connecting a wallet, streamlining the user experience. Supporting major assets like BTC, ETH, and USDC, Chainflip enhances Babylon DEX’s liquidity and security through its decentralized validator network
Moreover, the incorporation of Li.Fi SDK into Babylon's platform forms a bridge to the Li.Fi API, facilitating access to superior cross-chain routes across different bridges and exchanges. These routes can then be seamlessly executed via the SDK. Presently, Babylon's platform currently connects 20 + EVM blockchains supported by Li.Fi's SDK including but not limited to Ethereum, Avalanche, BSC, Polygon, Optimism and more, offering secure cross-chain data messaging.
The integration of such advanced protocols into Babylon's platform underscores the dedication to harnessing the full potential of blockchain technology for financial innovation. As the platform continues to improve its routing capabilities, it stands at the precipice of including additional blockchains, DEXs, and protocols.
In its current iteration, Babylon has added support for two wallets - MetaMask and XDEFI. It is done to enhance accessibility, allowing users to interact with the Babylon's platform using their preferred wallets.
Babylon represents a bold and innovative venture geared towards the creation and sustenance of a dynamic DEX. By bringing together other DEXs, incorporating state-of-the-art protocols, trustworthy third party providers, and supporting various well-known blockchains, it’s set to redefine the limits of decentralized finance.
As we navigate the future, we have set our sights on enriching Babylon's platform with cutting-edge functionalities such as smart liquidity vaults, perpetuals and comprehensive portfolio analytics. This progression will unequivocally cement Babylons's influential position in molding the future landscape of financial technologies.
