The startup develops a decentralized exchange platform that enables the secure and efficient trading of digital assets through smart contracts and blockchain technology. By fostering open collaboration within the DeFi ecosystem, the platform enhances liquidity and user trust in cryptocurrency transactions.
Funding
$2.2M raised to dateRaised to date based on public sources. This may differ from the amount the company actually raised and is based only on what is publicly available on the internet.
Founders
Product
Problem
Current decentralized exchange (DEX) solutions often suffer from limited liquidity, which can lead to high slippage and inefficient trading experiences for users. Furthermore, reliance on centralized stablecoins introduces censorship risks and undermines the core principles of decentralization.
Solution
Switcheo Labs is a software development lab focused on building decentralized financial (DeFi) solutions, including a cross-chain protocol called Carbon. Carbon enables the trading of derivatives and other financial instruments in a secure and scalable environment. The platform addresses liquidity issues through automated market making (AMM) algorithms and incentivized liquidity pools. Switcheo also offers a money market and a native Cosmos stablecoin that is IBC-enabled, aiming to provide a censorship-resistant alternative to centralized stablecoins. The Carbon stablecoin uses a Collateral Debt Position (CDP) model, similar to MakerDAO's DAI, allowing users to mint the stablecoin by locking in collateral.
Target Audience
The primary target audience includes DeFi users, traders, and developers seeking decentralized, cross-chain solutions for trading, lending, and borrowing digital assets, as well as those looking for censorship-resistant stablecoins.
Features
- Carbon protocol: A Layer 2 cross-chain protocol built on Cosmos-SDK for scalable DeFi applications.
- Demex: A decentralized derivatives trading platform built on the Carbon protocol.
- IBC-enabled stablecoin: A Cosmos-native stablecoin that can be securely used across other IBC-enabled chains.
- CDP model: Allows users to mint the Carbon stablecoin by locking in collateral, maintaining an over-collateralized position.
- Money Market: A decentralized lending and borrowing platform accepting assets from across the Cosmos ecosystem and other integrated chains.
- SudoAMM: Automated Market Making (AMM) algorithms and liquidity pools for NFTs.
- Concentrated Liquidity: Freedom to customize a specific price range for providing liquidity, similar to Uniswap v3.
- CarbonHub: A platform to buy and stake $SWTH, the protocol's utility token.