Axie players can now quickly swap between AXS, SLP, USDC, and WETH on Ronin-based Katana
Axie Infinity has introduced another significant functionality for players who want cheap and fast swaps and transactions. Katana DEX is the latest Axie product which will allow players to easily swap between AXS, SLP, USDC, and WETH. Notably, the decentralized exchange exists on the Ronin sidechain, facilitating much cheaper transactions than the previously available Ethereum-based swap services.
For the moment, players will only be able to swap between the four tokens mentioned above. However, in the future, the Axie team plans to add support for RON and WRON swaps. RON is the ecosystem token for the Ronin chain. It will eventually be used to pay gas fees and secure the network for both Axie Infinity and future games or products hosted on the chain. RON’s primary purpose is to ensure that Ronin will always be a blockchain owned by the community.
AXS is the native governance token in the Axie Infinity ecosystem. Additionally, the team recently introduced staking mechanics for the AXS token. With the integration of Katana DEX, players will easily exchange SLP for AXS and stake their assets for additional profit.
Become a liquidity provider
Another important feature of the Katana DEX is allowing players to lock their in-game assets and become liquidity providers. Katana is launching with liquidity rewards for two pools:
- AXS/ETH – 50% of RON rewards. Importantly, if you’re currently staking AXS, you’ll need to un-stake your AXS to participate in this pool.
- SLP/ETH – 50% of RON rewards
Once you deposit liquidity, you’ll need to stake your liquidity pool tokens to participate in the Katana launch reward program. Liquidity providers receive 0.25% of each trade that taps into the pool. Additionally, 0.05% of each swap goes to the Ronin treasury.
All liquidity pool rewards are issued as Wrapped Ronin Tokens (WRON) as the staking contract only accepts ERC-20 tokens. According to the official announcement, WRON rewards for these pools will be activated later this week. Currently, players won’t be able to claim WRON rewards. However, this functionality will become available at a later date when Katana starts supporting the RON/ETH pool for swapping RON tokens.
Katana attracts attention
Since the Katana decentralized exchange launch, the dapp has attracted upwards of 25.000 traders, who performed more than 52.000 transactions. This is rather impressive for an exchange that has existed not more than several hours.
In the days and weeks to come, Katana will attract even more users. Given that this is the primary way to swap tokens on Ronin, users will be flocking to use the new DEX. Additionally, the Axie Infinity team has launched a grace period for players, with each Ronin wallet receiving 100 fee-free transactions on Ronin per day. However, in the future users will need a bit of RON to cover the transaction costs.
DappRadar will continue monitoring Axie Infinity and its growing Ronin ecosystem. Adding a DEX to the mix is definitely going to attract more users to the platform. Many players are somewhat turned off by the high gas fees on Ethereum DEXs. To find out more about Axie Infinity, the native AXS token, and the new Katana DEX, check out the handy links below.