ACF funds new DEX
ARK has been added to LDEX, a decentralized exchange.
In September, the team at LDEX applied for and received a $2000 grant from the ARK Community Fund (ACF) to implement adapters to enable ARK and other ARK-based blockchains to be integrated into capitalisk-dex; an open source decentralized exchange.
The team chose ARK in part because it offers a fast and flexible HTTP API which exposes all the data and functionality required by capitalisk-dex.
In the original proposal, it was estimated that implementing all the necessary adapters would take around 20 hours in total. This turned out to be accurate, however, additional time had to be set aside for testing and to allow community members to configure and launch their DEX nodes. The DEX market ended up launching in October; approximately 1 month after the proposal had been approved by the ACF.
For convenience, the team decided to list ARK for trading against the CLSK token as CLSK represents the base currency of LDEX.
The new clsk/ark DEX market has the following configurations/rules:
Powered by 10 validators.
Cross-chain trades require signatures from at least 5 validators.
The exchange fee is 0.7% on each side (fees are distributed to validators based on performance).
Trades are processed after 17 ARK block confirmations.
In terms of technical capabilities, the clsk/ark DEX market provides the following features (among others):
It has a decentralized order book which supports both limit and market orders. Slippage and impermanent losses do not occur as they would with an Automated Market Maker (AMM).
Deterministic trade execution is based on blockchain data (there can only be one correct version of the trade history).
In-block transaction shuffling makes it impossible for anyone to reliably front-run trades. Also, limit orders can be used to provide additional protection.
Because trades occur chain-to-chain directly between counterparty accounts, there is no deposit or withdrawals step as with centralized exchanges. It’s possible for users to place DEX orders directly on-chain using the blockchain’s native wallet app without having to download any additional software; DEX commands can be placed directly inside the transaction message memo (known as a vendorField in ARK).
Trades typically go through within a few minutes.
As a DAO, the DEX is designed to be fully autonomous so it requires no intervention from operators aside from keeping their validator nodes running.
Although capitalisk-dex can realistically support up to 100 validators, this would limit the earning potential of each validator in the market. It was concluded that having 10 validators would be an ideal number in terms of security, availability and decentralization.
Validators were chosen from 2 different communities; 4 members came from the Capitalisk community (these had prior experience running validator nodes for other markets) and 6 members came from the ARK community. Members were chosen primarily based on their reputation within their community. This approach is particularly suitable for a DPoS blockchain such as ARK where on-chain reputation can have significant value. You can find the full list of validators here:
| Arktoshi: AbBHCVCPv5cQuTk9K4LEkfWb1vcPZFX7Mo clsk652de380f8c4d49793bbcad4655811fa50d5d534 | |
| GEOPS: ARakGTxFw9AGCvtLuZQhKrruiDmiKLKpGr clskd3b15917ad658f1f296f3c3d3d12d9a0de05a02d | |
| Mr Tru: AMc3GBZphp8W6kGPjUtJEps7bRFJoYzUYW clsk693495bcb6393d0a6ec73487e8114998404a86b3 | |
| lemint (StudioCoinA): AMKTEYLFzV7H5QuZXVfmH5p4y7YZtc6HoH clsk2919a88aa3504d047aaed4251cd142a19755db0b | |
| fonk: AL9u2esnJjeTYWunxWk45iz1egU1msV6GU clskfcfb843bf4e257a61dcb724c2e793ec62ff60ba8 | |
| kippers: AJ64VKSKEUhECfvDph6SeAc8PbiGfmrWxB clsk08936b6b17611ff9d9f866eff3793ca763f2f6f8 | |
| Ray: AURugrfvSjCpaSFB1quGnpadwLgxtdkbvW clsk3428a8b2a8a18e94b6786e4ffadcc6ba372c509f | |
| Thamar: AMAwi5WSMG1yA4J88eoEATdG3q5KDHiQSC clskbbc8323e1ef903c039583c3d0b0299c3aa441723 | |
| Maarten: AMzxQqLnvp1273ZhzfQd1LVSnCZg6MfHgb clsk6af57d8f59f5883225d17e16466982f56c805412 | |
| Jong: AbTfF95B7pHHvpyymjvhmtfz5mhJ6qcTm2 clsk374b564f863d25f5abe950834cd017cd6c9774b1 | |
| ---- | |
| Multisig DEX addresses: AeEMWJxddmiu3svHm5bM6VfHFPgTHKiEqE clsk000e1badfc257cc7d585ba328f36f0406bd7ba34 |
The technology behind capitalisk-dex and the new ARK adapters is fully open source which allows anyone to get together and launch their own DEX markets/DAOs to allow trading custom tokens against the ARK blockchain.
The team at LDEX is also interested in ARK's upcoming new consensus upgrade; of particular interest is the possibility of 1-block finality which will allow the DEX to process direct, fully-settled cross-chain trades within seconds.
The open source nature of this platform allows anyone to add custom token pairs against the ARK token and we can’t wait to see what will be added next. The LDEX team also expressed interest in adding more larger pairs in the future including Ethereum.
Check out the new DEX at https://ldex.trading/. For more information about the ACF or for any assistance or help needed, please join the ARK Community Discord, https://discord.gg/arkecosystem, or the ARK Community Reddit, https://www.reddit.com/r/ArkEcosystem/. The ACF is open for proposals for funding ARK related projects or ideas so please join the community and reach out.