An Introduction to exoSwap
The rise of decentralized exchanges has altered the cryptocurrency landscape forever, democratizing the process of releasing a new token and lowering the barriers to entry for new entrants into the space. Anyone with an idea, and the ability to write a token contract, can now launch their project with a relatively small budget, but this creates a unique set of challenges for teams who start up this way.
Generating income for marketing, development, trading liquidity and other expenses is a key obstacle, typically one that developers attempt to address by building in transaction taxes to their token contracts. This method requires the team to sell back their own token, and while adding fees into a contract may be advantageous at the beginning of a project’s life, high transaction taxes may not be compatible with future project goals, such as new utilities, transaction settlement or centralized exchange listings.
Additionally, increasing speculation about regulatory bodies targeting DeFi/cryptocurrency, elements such as transaction taxes, maximum Tx amounts, burn fees and such which are permanently written into token contracts might someday cause that token to fall within the scope of new regulations – defining the token as a security, for example – and placing new legal or financial obligations on the development team.
Complete Developer Control
exo.fi will be the world’s first decentralized cryptocurrency exchange that allows project developers complete control and flexibility over trading fees, and the way their token is bought and sold on our platform.
Developers will no longer need to build transaction taxes and sell backs into their contracts to raise funds for expenses like marketing, liquidity, charity and more. These fees can now be set directly on our exchange and allocated to whatever uses the team sees fit.
Flexible liquidity locking will allow projects with sufficient trading liquidity to access a portion of this for pre-approved purposes such as market making on centralized exchanges, and teams will be able to set custom transaction fees to and from CEX hot wallets – facilitating future growth and expansion of the token. Investors will get a premium trading experience, including charts, advanced order types, PnL indicators and more – with extra functionality unlocked via the EXO governance token.
ExoSwap Fee Structure
Base trading fees are 0.39% – split according to the following schedule, and leveraged globally on all swaps:
0.13% to liquidity providers
0.05% to dev wallet of token
0.05% to token buybacks
0.06% to trader sweepstakes pool
0.1% to team treasury
**Traders can earn up to 50% rebate on these fees by holding EXO governance token (25% to the trader directly, 25% redistributed globally via trader jackpot).
For high volume traders, further fee reductions are available globally across the entire platform, depending on governance tier.
The 0.05% fee to the dev wallet will be distributed to the token contract owner/deployer, and provides an incentive to dev teams to add liquidity on our exchange even if they do not intend to make use of the customizable trading/ fee capabilities.
0.13% is allocated to liquidity providers as per existing liquidity farming models.
0.1% goes to the team treasury – this is used for project related costs such as marketing, wages, development, etc. at the discretion of the team.