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TeddySwap has launched on Cardano (ADA) with a vision of capturing the decentralized exchange (DEX) market share and improving liquidity on the network.
The Cardano DeFi ecosystem has attracted significant interest recently, with more users interacting with protocols, and more developers building on the network. TeddySwap is the latest to join the trend, with the project announcing its launch on the Cardano mainnet Friday.
The mainnet release followed the project’s initial liquidity bootstrapping event to raise funds for its pools. At the time of writing, TeddySwap has attracted 502,000 ADA (appr. $196,000) worth of liquidity a few hours after launch.
In the meantime, the DEX is allowing users to swap between its native TEDY token and ADA. However, plans are already underway to enable support for other major pools, notably including ADA pairs against iBTC, iETH, and DJED.
TeddySwap also plans to target the stablecoin market on Cardano, with sights set on becoming the go-to trading place for traders to access stables on the network.
TeddySwap’s newly launched DEX also supports a wide range of popular Cardano wallets, underlining its efforts to attract the broader community. For instance, users can connect with household names such as Nami, Lace, and WalletConnect, with additional options including Eternl Mobile and Exodus.
Like most DEXes, TeddySwap allows liquidity providers to earn a standard 0.3% fee for contributing to its pools. Users would also earn TEDY tokens, with TeddySwap liquidity pools currently being the only way to get the token.
TeddySwap Joins Cardano’s Burgeoning DeFi Space
TeddySwap’s launch follows a period of considerable growth for the Cardano DeFi ecosystem. In the past month, Cardano’s total value locked (TVL) has surpassed Bitcoin’s and hit a new all-time high in ADA terms.
As the above chart shows, Cardano’s TVL is also surging in USD terms and looks on track to break its previous high. The popular metric currently stands at $261.8 million, steadily approaching April’s high above $300 million.
Meanwhile, the price of ADA has also seen mild growth owing to increased DeFi activity. The eighth largest crypto asset by market cap is trading around $0.39 at the time of writing, representing a 6% increase in the past seven days.