Wisp Swap is a decentralized exchange that allows users to trade tokens, add liquidity, lending, farming and participate in prediction markets. The platform is quickly gaining popularity among DeFi enthusiasts in the Sui ecosystem due to its user-friendly interface and advanced features.
A retroactive airdrop is a type of airdrop that allows early users of the Wisp Swap to earn Wisp Swap Points which will be redeemable for tokens. The ‘retroactive’ element refers to the fact airdrops will be allocated in the future, considering factors like when we launch our mainnet site and publicly release our governance token.
The 4 decisive components that differentiate the Wisp Swap from others are :
- Concentrated Liquidity Market Maker (CLMM): By allocating capital within a specified price range rather than a uniform distribution from zero to infinity, our DEX can provide increased depth to handle larger volumes with far less total capital. If a liquidity provider sets a certain price range to provide liquidity then the LP will earn trading fees so long price is within that range.
- Impermanent Loss (IL) Insurance Pool: In addition to the CLMM mechanism, there will be an insurance pool that covers liquidity providers against impermanent loss in both directions. Liquidity Providers will receive 2% IL coverage for each day in the pool. This should alleviate most of the opportunity cost from provisioning liquidity rather than holding each token individually.
- Decentralized Limit Order Book (DLOB): a computationally efficient and permissionless system with a validator-like node network that anyone can build and run. The network can route orders through the multi-sourced liquidity mechanisms that are designed to effectively scale and improve capital efficiency for both retail and institutional traders.
- Decentralized Autonomous Organization (DAO): Since the beginning, we’ve been committed to the product-first approach. Our goal has always been to build a robust platform that people actually want to use, then powered by the $WISP token to start to pass the governance torch and treasury management over to the community. Our goal is to launch DAO governance as decentralized as possible while keeping the community engaged and entertained. We want community members to see themselves as a part of the project, aligned with the same goals.