BlazeSwap DEX is set to improve DeFi on the Flare Blockchain

Key highlights:

• BlazeSwap will be the first decentralized exchange on the Flare blockchain platform
• BlazeSwap will leverage the unique features of the Flare blockchain to offer additional revenue opportunities for liquidity providers
• LPs will be able to earn rewards from delegations to data providers of Flare’s FTSO system

Flare-based DEX project BlazeSwap aims to provide additional rewards to LPs

Flare, a blockchain platform focused on interoperability, is set to receive its first decentralized exchange. BlazeSwap will leverage the unique features of the Flare platform to provide a unique set of features for DeFi users.

Users who provide liquidity to BlazeSwap will not only receive standard liquidity provider rewards, but will also be able to earn money derived from Flare’s price oracle delegation and airdrops.

The Flare Time Series Oracle (FTSO) is a system that pulls price data from centralized and decentralized cryptocurrency exchanges and sends it to the Flare blockchain. This allows the Flare blockchain to act as a hub for trading digital assets from a variety of blockchains, even those that do not have built-in smart contract functionality.

The data providers participating in the FTSO system are incentivized with rewards, as long as they provide quality data. Users who do not participate as data providers have the option to delegate their FLR tokens to a data provider and receive a share of the rewards they earn.

BlazeSwap uses delegation as a way to increase earnings for liquidity providers. This makes the BlazeSwap DEX a more attractive destination for CPR holders, while contributing to the security and decentralization of the Flare blockchain.

BlazeSwap uses a similar automated market maker (AMM) model, and has ambitions to become a one-stop shop for trading the main digital assets from a number of different blockchains. The platform has been audited by Omniscia, a company that counts notable projects such as Polygon and DappRadar among its clients.

The BlazeSwap DEX will launch on Flare once the platform is out of its current “observation mode”. Pending approval by the Flare community, users who provide liquidity to BlazeSwap will be able to receive rewards from the delegation incentive pool on top of the standard rewards from delegating their tokens to FTSO data providers. This proposal is called Flare Improvement Proposal 01.

Commenting on BlazeSwap, Flare’s co-founder Hugo Philion highlighted the project that uses Flare’s native infrastructure to innovate in the decentralized finance space:

“We are thrilled to see BlazeSwap integrate Flare’s native data infrastructure to offer a new way to do DeFi. This is exciting news not only for BlazeSwap and Flare, but also for the wider Web3 and DeFi communities. We look forward to see what other innovative products our growing developer base will be able to build using Flare’s native protocols.”

Meanwhile, BlazeSwap founder Alex Dupre said the project will announce a bug bounty program to improve the security of the platform, and said the project will first roll out the final version of its smart contracts on the Songbird blockchain, with a deployment on Flare to come afterwards. Dupre also touched on the reasons why BlazeSwap chose to build on Flare:

“The speed of the Flare network, its low gas fees and its goal to ‘connect everything’ make it a perfect match for our decentralized hub.”