Gravity DEX – This is why you should be excited!
Cosmos aims to be the internet of blockchains. The Cosmos Network connects different blockchains in the space.
And now, a fundamental innovation is ready to launch: The Gravity DEX.
The Gravity DEX will be the first interchain decentralized exchange! But what does that mean, and how will the Gravity DEX impact the entire DeFi sector?
Gravity DEX: the first interchain DEX
First of all, what is a DEX? DEX is short for decentralized exchange. In contrast to other centralized exchanges, such as Coinbase or Kraken, decentralized exchanges are permissionless. That said, everybody with a functional internet connection can interact with a DEX. The most famous DEX is Uniswap, a protocol built on Ethereum. On Uniswap, people can exchange tokens back and forth – without any middlemen! People come together, and market demand meets supply!
Decentralized exchanges are gaining more and more attention and surpassed popular centralized exchanges in trading volume, such as Coinbase, several times already.
There are uncountable DEXs on Ethereum – Uniswap, ShushiSwap, or Kyber Network, to mention a few. The Gravity DEX is a decentralized exchange as well but with one huge difference! On DEXs in the Ethereum ecosystem, only ERC-20 tokens are tradeable – so, only tokens that were natively created on the Ethereum blockchain.
And here is the thing: DeFi is getting more diverse! There are many different ecosystems in the space, such as Ethereum, Polkadot, Cardano, Avalanche, Solana, and many more! Wouldn’t it be wonderful if we could connect them all, making them tradable on one single platform?
Gravity DEX enables interoperability
In the future, blockchains can connect to the Gravity DEX. This is how DeFi is coming to Cosmos, but this is also how every DeFi token could be tradeable and transferred beyond its native ecosystem – true interoperability!
Moreover, the Gravity DEX brings a massive value to the Cosmos network as a whole. Nowadays, projects that build on Cosmos have it hard to list a token. They either have to do this on a centralized exchange, or a vast funding capital is required to do so. But getting listed on a centralized exchange is not easy and requires a lot of regulatory effort. And having vast funding capital is also not given for every project. This is also why people love Uniswap! On Uniswap, everybody can list a token. Of course, this also bears a certain risk, as exit scams are more likely to happen. But in the end, it hinders the Cosmos ecosystem from becoming even more extensive and more diverse. When the Gravity DEX is fully launched, precisely this is possible.
Everybody can list a token without much effort!
Gravity Bridge connects Cosmos with Ethereum
The Gravity Bridge to Ethereum is also worth highlighting! This is a cross-chain bridge to Ethereum and allows transferring assets from Ethereum to Cosmos and vice-versa!
What does that mean? Well, you could potentially trade Cosmos tokens on Uniswap or other Ethereum based DEXs.
Connecting Ethereum and Cosmos will enrich DeFi significantly!
Gravity DEX – Ready to launch!
Between May 4 and May 11, the Gravity DEX testnet competition took place. And it was a huge success! The success in numbers:
- More than 20000 traders competed for a $200K+ prize pool
- Total swap volume of $900 million
After this success, it is entitled to say that the community truly believes in the Gravity DEX!
But when will the Gravity DEX go live? Very soon! Recently a blog post by B-Harvest was published on the Cosmos website, stating the following:
“The most advanced interchain DEX in the world will go live on Cosmos Hub at the beginning of July 2021, barring any unforeseen circumstances.”
So, we can expect the Gravity DEX to go live this summer already!
That said, soon, people can easily launch their own Cosmos-based token instantly on Gravity DEX. Besides, more DeFi comes to Cosmos because of the Gravity bridge to Ethereum!
In other words: the launch of one of the most exciting projects in the DeFi space, the Gravity DEX, is just around the corner!
It will be exciting to see the Cosmos ecosystem evolving over the next few weeks and months!