thecryptobasic.com
The Shiba Inu decentralized exchange (DEX) ShibaSwap is gearing up for a major upgrade with the anticipated introduction of liquid staking.
Shibarium Updates (@Shibizens), an X channel focused on Shibarium ecosystem disclosures, alerted the public to the upcoming upgrade over the weekend.
“Liquid staking is coming to ShibaSwap,” the channel remarked, describing the upgrade as the next level of DeFi.
According to the latest disclosure, the development was unveiled on Shiba Inu’s rebranded website.
Liquid Staking on ShibaSwap
Notably, the liquid staking feature will enable ShibaSwap users to stake their tokens on the DEX while retaining liquidity. Through the feature, users can earn rewards on their staked assets and still gain access to their locked assets.
Upon staking their tokens through the liquid staking feature, users will receive liquid tokens representing their staked assets. Interestingly, users can utilize the liquid tokens for trading and as collateral on DeFi platforms.
In the ShibaSwap case, @Shibizens disclosed that users will receive liquid Treat tokens (veTREAT) when they stake their TREAT tokens using the liquid staking feature.
Aside from representing users’ stakes, veTREAT also grants holders governance power to control the allocation of rewards for liquidity mining. It bears mentioning that TREAT is not yet available for public use.
Karma Point System
Another upcoming feature from the ShibaSwap update is a Karma Point system, where users earn points by participating in certain activities. One such activity is transferring Shiba Inu ecosystem tokens, such as SHIB, BONE, LEASH, and TREAT.
Furthermore, providing liquidity on ShibaSwap is another way to earn Karma points on the DEX. The points users earn in the Karma system help to enhance their voting power within the Shib Doggy DAO.
It bears mentioning that the Shib Doggy DAO is not live yet. Nonetheless, the team plans to launch the decentralized autonomous organization before the end of next year, potentially allowing token holders to vote on key initiatives related to Shiba Inu.
No Official Launch Date for Liquid Staking on ShibaSwap
Meanwhile, the Shiba Inu ecosystem team has yet to reveal a timeline for liquid staking launch on ShibaSwap. In the meantime, users who wish to stake their tokens using the liquid staking feature can do so on K9 Finance, a Shibarium-based liquid staking and derivative platform.
The team behind the project remains the official liquid staking partner of the Shiba Inu ecosystem.
Since its September 18 launch on Shibarium, K9 Finance has registered 248 stakers, who have successfully staked 2,426,390 (2.42 million) BONE. At press time, K9’s liquid staking token, knBONE, has a market cap of $1.45 million.
ShibaSwap Upgrades
ShibaSwap has welcomed significant upgrades since it launched on Ethereum in July 2021. It transitioned to Shibarium earlier this year, making the DEX a multi-chain decentralized crypto exchange.
The migration allows users to swap their tokens between the Ethereum and Shibarium networks while enhancing SHIB burns.
In October, the development team behind the Shiba Inu ecosystem launched the highly anticipated ShibaSwap 2.0, introducing new features like seamless migration and centralized liquidity pools.