EmiSwap decentralized AMM exchange is a new powerful player in the DEX market that intends to get liquidity from key protocols by offering 100% Ethereum gas offset, one of the best rewarding terms for liquidity providers, and NFT items among them to divide.
The exchange came live on March 31 and has already reached nearly $ 200,000 TVL (or liquidity) and attracted more than $ 1,300,000 during the early adopters’ pre-seed sale and the seed round sale of their native governance ESW -token. The price of 1 ESW token has increased from $ 0.11 to $ 0.23, an increase of 110%. EmiSwap is now running a $ 0.23 private round of investment that will last about a month, after which the ESW will be available on launchpads for $ 0.37, after which they will list on other exchanges.
EmiSwap is the first project of the EmiDAO alliance and its members – Alpha Sigma Capital investment fund, DigiFinex, Bitmart, Emirex and HollaEx centralized exchanges, IDCM and Everest KYC provider – are taking an active role in managing and promoting the new product.
What are the most compelling aspects of EmiSwap that are likely to enable mass adoption, hype and liquidity attraction? Let’s find out.
High rewards for early liquidity providers
EmiSwap’s management team focuses on providing the most favorable conditions in the market to attract liquidity providers from competing protocols. EmiSwap usually pays off 0.25% of each operation on the exchange to LPs, but for the first 100 days after launch, the rewards will be multiplied. This is what EmiSwap offers:
- 100% fee for Ethereum gas fee for any activity (creating a pool, entering into a swap, or adding liquidity) in ESW governance tokens.
- 30,000 ESW for every 1 million DAI trading volume is distributed proportionally between LPs on a daily basis (which increases the basic reward for providing liquidity by two).
- In addition, about 40,000 ESW is allocated to LPs every day.
- Since ESW is a governance token, the holders can 0.05% daily rewards of trading volume and votes on product developments.
- Limited edition NFT cards will be assigned to LPs during this campaign (read on for more information).
What does that mean? We have calculated a possible scenario of how promising EmiSwap is in terms of generating rewards for liquidity providers.
Calculation example: one possible scenario and 107% APY
- You provide liquidity worth $ 100,000 for ETH / DAI token pair.
- You pay 100 USDT for gas and get it 435 ESW as compensation.
- The total liquidity on EmiSwap is 20,000,000 DAI, which means your share is 5%.
- The daily trading volume is 3,000,000 DAI, so 7,500 DAI is distributed across LPs on a daily basis. You receive 37.5 DAI every day.
- In addition, 90,000 ESW (30,000 ESW for each 1 million trading volume) is proportionally allocated to LPs. You receive 450 ESW daily.
- In addition, liquidity providers will receive 6,150 ESW for every 1,000 blocks. There are 6,800 blocks daily, so 41,820 ESW are spread over LPs. Your reward is 201 ESW daily.
- Your daily reward in this case is 37.5 DAI + 651 ESW. You also get additional income from ESW holdings,05% daily.
- In that case you earn 1125 DAI + 19,530 ESW monthly.
According to the calculations of EmiSwap, this means that once TVL on EmiSwap reaches 20 million DAI in the case described, this means that 107% Annual Percentage Yield (APY) for providing liquidity on EmiSwap (excluding 0.05% rewards for ESW tokens).
NFT cards for liquidity providers
EmiSwap isn’t just the first DEX to offset Ethereum gas costs. It also offers limited edition NFT cards that increase the user’s profit while using the exchange or can be sold on marketplaces.
For liquidity providers, EmiSwap will issue a limited collection of 1001 cards. These cards are assigned to users who provide liquidity and cross $ 100,000 TVL each. The more liquidity you add as you cross the milestone, the rarer the card you get. Generally, there are 1 Mythic Card, 10 Legendary, 40 Epic, 150 Rare, 300 Uncommon, and 500 Ordinary Cards.
Time to Compete, NFT Collectors!