AUTOSWAP FEATURES: How the Autonomy DApp Will Help Carry Out Actions & Manage Risks on BSC-Based DEXs
AutoSwap dApp, introduced by the Autonomy Network, seeks to feature in DeFi ecosystem the missing features that were available only on centralized exchanges.
This nonequal dApp is the first ever which aims to offer limit orders, impermanent loss protection, stop losses, recurring payment features for Binance Smart Chain-based decentralized exchanges like PancakeSwap and blockchains such as Ethereum, Solana, Polygon, Avalanche, among others.
Autonomy Network is the leading decentralized automation protocol. Its primary purpose is to manage recurring risks in the crypto market.
Is Autonomy out for ambition? The answer is NO.
The Network observed a risk challenge castrating the entire DeFi ecosystem, and rose up to seek a solution to it.
Before now, only centralized exchange had such feature, which in a way robbed the DEXes of total independence and impose the dominion of centralized exchanges.
Therefore, the offer to limit orders, impermanent loss protection, stop losses, recurring payment for smart chain-based DEXes by AutoSwap is a welcome development.
It will help users better manage risk and boost their returns since the main inhibitor of growth of DEXes has been removed. And all this can be done without them having to look at their gadgets constantly.
To do this, Autonomy came up with the idea of bots that users can own as NFTs, which will automatically carry out the actions they want — when they are not there — based on the conditions they set. These bots are called “aNFTs”.
Features of AutoSwap dApp
1. Limit Order
This feature allows a user to set his own price to buy or sell on a crypto market. This user has to execute his order if the market reaches his limit price. But if not, he does not execute his order.
AutoSwap will be the eyes for every user on any DEX market of their choice. With the aNFTs, a user can make entries for orders based on their conditions and the bots will effect these orders once the conditions are met.
2. Stop Loss
A stop loss is an advanced order used by traders to prevent additional losses. When a specific price point is met, the order triggers off. As the market experiences a slope, a stop-loss can trigger to trade funds out of the present position.
The stop-loss is a trader’s biggest guard, as volatility in the crypto markets can go up at any moment. With AutoSwap, however, this is curtailed.
3. Impermanent Loss Protection
Impermanent loss is a unique risk associated with providing liquidity to dual-asset pools in DeFi protocols. It is the difference in value between depositing 2 cryptocurrency assets within an Automated Market Maker-based liquidity pool.
When such imbalance arises, users may lose more through a dip in rewards and there a fear of permanency.
To salvage this problem, AutoSwap offers you a protection from loss by withdrawing your funds from the pool when dip changes are observed. All a user has to do is set a condition for the order and it will be done by the aNFT, when the condition is met.
4. Recurring Payment
Recurring payment is a feature in place to let users automate the purchases and probably the payments for services on crypto space.
AutoSwap integrates recurring payment through a DCA investment strategy, allow a user the freedom to choose the crypto he wants to buy, the amount he wants to invest, and how often he desires to buy the cryptocurrency.
The user’s aNFT automatically effect the purchases as ordered by the user.
Apart from PancakeSwap on Binance Smart Chain (BSC), SokuSwap has successfully integrated Autonomy on BSC. Pangolin, in an attempt to improve its overall usability and offer better risk management to users and LPs, has integrated Autonomy’s limit orders, stop losses and impermanent loss protection features on Avalanche.
Other leading DEXes on multiple blockchains have partnered with Autonomy to offer their users similar features available on centralized exchanges.
Meanwhile, ApeSwap is contemplating on Autonomy-powered limit orders on Binance Smart Chain. SushiSwap’s Kashi has resolved to natively integrate Autonomy to offer automating self-liquidations.
With the current high growing rate of trading volumes of DEXes, lack of automated solutions such as limit orders, stop losses, impermanent loss protection and recurring payments have become serious challenges for DeFi users.
Integration of dApp will help immensely in risk management for Binance Smart Chain-based decentralized exchanges as it safeguards users privacy, hinders censorship and made development flexible.
About Autonomy Network
Autonomy Network is a decentralized network where Web3 app developers, builders, and users are granted access to automation tools for the execution of on-chain transactions.
Users of the network can use the tools it provides to automate a trade action that would be executed in the future under any condition at their comfort and absence through NFTs.
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