On March 25, a new decentralized exchange, Bro-DEX, was launched on the Kadena blockchain, marking the debut of the first order-book DEX on this scalable layer-1 PoW network.
What is Bro-DEX?
Bro-DEX operates on an order-book model unlike the more common AMM-based DEXs. This traditional model directly matches buyers and sellers based on their orders, providing precision many AMMs can't offer. Unique to Bro-DEX is the absence of maker fees, encouraging liquidity providers to participate actively in the market.
Kadena: The Perfect Home for Bro-DEX
Kadena's Chainweb architecture supports up to 480,000 transactions per second, making it ideal for Bro-DEX. Its security is comparable to Bitcoin's PoW consensus, and the Pact smart contract language offers added reliability, crucial for handling real-time order matching.
Why Order-Book DEXs Matter
Order-book DEXs like Bro-DEX solve issues such as slippage and impermanent loss common in AMMs. They allow users to set precise buy or sell prices and execute strategies needing control over orders. This aligns with Kadena's vision of bridging blockchain and real-world utility.
The launch of Bro-DEX on Kadena highlights the blockchain's potential to support cutting-edge financial tools. By eliminating maker fees and adopting an order-book model, Bro-DEX emphasizes Kadena's unique advantages, challenging current DeFi trading norms.
