Dubai, UAE, 14th November 2023, The crypto industry, particularly DeFi, has been struggling with insufficient liquidity for a while now. This problem leads to prolonged waiting times, unfavorable exchange rates, and high transaction fees, causing inconvenience and financial losses for users. To make matters worse, users often have to search through different platforms to find the liquidity they need and even use several exchanges for multi-part swaps, which often results in additional difficulties and losses due to intermediate steps.
Kinetex addresses these issues by providing a convenient, all-in-one interface that combines multiple liquidity sources in one place. As a meta multi-chain aggregator, Kinetex does not need to create new wrapped tokens or store existing liquidity. The widget connects liquidity from different networks, uniting them into one global ecosystem.
The current ecosystem includes 15 networks, with more than 50 expected to be added soon. Besides, there are over 20 bridges, multiple DEX liquidity aggregators, numerous limit order protocols (1inch, 0x, PancakeSwap, etc.), and market makers. All those liquidity sources allow Kinetex to ensure an uninterrupted supply of adequate liquidity for a great variety of crypto assets.
Kinetex offers three scenarios for executing your orders. Firstly, it attempts to execute trades using P2P limit orders, enabling users to swap crypto assets between each other through the order book. If there is insufficient liquidity in the order book, Kinetex turns to market makers for assistance. These market makers use their own liquidity or bridge liquidity from major centralized exchanges. This creates and maintains a secure connection between CeFi and DeFi. Finally, if you need to swap assets that are not available through P2P or market makers, Kinetex attracts liquidity from other sources, such as decentralized exchanges and cross-chain bridges. As a result, you can swap almost any coin or token for any other asset using the Kinetex widget.
The Kinetex team is constantly working on adding new sources of liquidity based on the community’s wants and needs. The aim is to make the world of blockchain more united, convenient, and efficient, offering liquidity solutions that can make the swapping process between different blockchains more profitable and easy for traders with any level of experience.
Disclaimer: The views, suggestions, and opinions expressed here are the sole responsibility of the experts. No Biz Economics journalist was involved in the writing and production of this article.