What Is Calaswap(CLS)? Complete Guide & Review About Calaswap

What Is Calaswap(CLS)?

Calaswap is an innovative trading mechanism that has evolved further from the existing orderbook-based DEX and transformed the on-chain cryptocurrency transaction to uses AMM. Instead of Buy/Sell orderbook, liquidity pools created by liquidity providers allow traders to swap between currencies. Also, liquidity providers share the transaction fees arising from the liquidity pool as revenue according to their liquidity contribution.

Calaswap Coin structure is designed to enable users to achieve comprehensive and secure transactions through market liquidity. However, there is a variety of uncertain risks in liquidity supply, and the asymmetry of time, information, and subject should be eliminated to meet the user’s requirements.

The layered Architecture of Calaswap is suggested to fulfill the requirements above. This is an Automated Market-Making (AMM) swap protocol, with a Defi service where everyone can become a liquidity provider and earn transaction fee income, the ecosystem participants can be classified as follows: User, Liquidity provider, Farming & Staking, Community Participant, Airdrop Operator.

Important Points Table Of Calaswap

How to Buy the Continental & Trade On Exchange?

AMM mechanism

Calaswap Coin mechanism is based on the x*y=k formula. When creating liquidity pool, each price range depends on the quantity of each token. It is designed to decide the price according to the change of supply per token in the liquidity pool.

Layered Architecture

Calaswap structure is designed to enable users to achieve comprehensive and secure transactions through market liquidity. However, there is a variety of uncertain risks in liquidity supply, and the asymmetry of time, information, subject should be eliminated to meet the user’s requirements. Layered Architecture of This is suggested to fulfill the requirements above.

Deflation Mechanisms

20% of all transaction fees will be used to repurchase CLS tokens from the open market and burn.  In general, CLS token burn occurs once a month and the information on burning will be disclosed transparently. For other products to be released in the future, the deflation mechanism can be considered.

Governance

Calaswap Coin DAO is decentralized autonomous organization governs. The creation of The DAO offer direct control of community about extended governance mechanism by indicating movement to completed DAO features. The entire participants of DAO will be committed to achieve the common purpose which The DAO and CLS token to be fully decentralized, owned and managed by DAO.

Protocol Layer

In Calaswap, every transaction is completed by smart contracts based on digital signatures without connecting participants of each transaction. Transactions are handled based on a predefined strategy with liquid pools and agreed fees.

Liquidity Layer

Rules of payment for various liquidity sources will be defined with smart contracts. By combining various liquidity sources through smart contracts, the best exchange rate can be calculated, and risks caused by trustless counterparties can be solved. Atomic swap with smart contract does not require trust between two trading parties.

Application Layer

Calaswap Coin supports the expansion of service through application layers. We increase the convenience of participants of the ecosystem with supporting API, I/F for wallet services, and routing I/F, and these are key elements to guarantee the expansion of the ecosystem by enlarging exchanges with external projects.

Slippage may occur in swap transactions via AMM. In addition, liquidity providers may experience a non-permanent loss in the process of adjusting the pool’s token price by the automated market mechanism due to the gap in the price of a pool’s tokens and external tokens.

Decentralizing Calaswap

Calaswap provides true value, fairness and innovation to decentralized finance through high-quality products and services, and the major structural changes are decided by a vote in the community while the whole platform maintaining decentralized governance of CLS token holders.

Calaswap Feature

Liquidity provider

LP, Liquidity provider, pool their tokens in the pool they want to. If you provide liquidity to the pool, you will receive LP (Liquidity Pool) Token as proof, where the number of LP Tokens received represents your stake (%) in the total pool, and you can receive the commission revenue generated from the pool as a liquidity supply reward based on this LP.

Farming & Staker

You may be rewarded with CLS tokens by farming the LP tokens received as liquidity supply rewards, or you will be rewarded with CLS tokens or non-CLS tokens by staking CLS tokens.

Community Participant

Community participants can influence key decision making of Calaswap Coin by participating in governance. It is a structure that benefits the participants as develops.

Airdrop Operator

For promising new projects, the mutual marketing can be carried out in consultation with Calaswap, the creation of initial liquidity and the securement of suppliers can be made through effective content exposure, and the liquidity linkage is available.