BenPay DEX is different from third-party DEXs on other public chains. It is a native decentralized exchange built on BenFen's underlying system. BenPay DEX is not only the core trading platform of the BenFen chain but also a crucial prerequisite for the stability of the BenFen stablecoin mechanism.
BenPay DEX features a Liquidity Pool and Automated Market Making (AMM) model, similar to a regular DEX. For each transaction, BenPay DEX charges a 0.1% handling fee (in the form of BFC or BUSD) to the user. This fee is split, with 50% used to incentivize liquidity providers and the remaining 50% used to increase protocol reserves.
BenPay DEX Main features:
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Transaction facilitation
BenPay DEX's core is stablecoin, providing users with a stable trading environment and avoiding drastic price fluctuations. At the same time, the difference between stablecoin and treasury prices creates arbitrage opportunities, which helps maintain the exchange rate balance and improves the trading experience. -
Centralized liquidity
LPs can provide liquidity within a specific price range through a centralized liquidity mechanism. This approach significantly improves funding efficiency and provides a solid foundation for managing prices and making dynamic adjustments to stablecoins. -
Ecological support
As a core component of the BenFen ecosystem, BenPay DEX attracts users and developers to participate, fosters the development of decentralized applications (DApps), and promotes the overall prosperity of the ecosystem.
Built-in Oracle system
BenPay DEX's built-in Oracle system provides accurate and reliable price data to the market with the following features:
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TWAP mechanism
Using time-weighted average price (TWAP) to smooth price fluctuations and provide stable price references for users and protocols. -
Sliding window
Through a sliding window design, real-time price data is updated to reflect market trends accurately. -
Anti-manipulation
Set cooling periods and price deviation thresholds to reduce market manipulation risks and ensure system security. -
Transparency
The Oracle system is open and transparent; all data is searchable, enhancing users' trust in the platform.
BenPay DEX offers users an efficient and secure trading experience through three key features: transaction convenience, centralized liquidity, and ecosystem support. Its built-in Oracle system further ensures the stability and transparency of price data, preventing market manipulation. With these advantages, BenPay DEX enhances user experience and becomes a key pillar of BenFen's ecosystem development, providing strong support for the prosperity of stablecoin mechanisms and decentralized applications.