With over 5 billion USD locked in the DeFi world, one cannot undermine its extensive progress. Several projects uprise every day solving one of the drawbacks of the existing development, whilst leaving behind another drawback. With the Ethereum Blockchain housing over 100 developments, one cannot overlook the impediment it has caused to the users. From the high gas fees to the slow transaction time, to lack of order limits, and overlapping liquidities; the users are barely managing the resources providing all at a grave expense. To provide long-lasting solutions decentralized financial transactions suffer, Raydium had put in place facilities.
Raydium is an automated market maker (AMM) built on the Solana blockchain which leverages the central order book of the Serum decentralized exchange (DEX) to enable lightning-fast trades, shared liquidity, and new features for earning yield.
Unlike most development that uses Ethereum as their hosting platform, Raydium chose Solana as the underlying blockchain to allow for low-cost and high-speed transactions. Also, it is a high-performance, permissionless blockchain-based on Proof of History (PoH).
As Proof of Work (PoW) is to Ethereum, so is Proof of History (PoH) to Solana. PoH is a globally available, permissionless source of time that serves as the solution to the clock problem of other consensus systems.
It can handle 65,000 transactions per second with 400 millisecond block times. The protocol is designed to scale together hardware and bandwidth improvements, with capacity expected to double every 2 years.
For more efficiency, Raydium will be integrated into Project Serum, which is a decentralized exchange that supports trustless cross-chain trading. Despite being natively implemented on Solana, it will be interoperable with Ethereum. This means it allows for cross-platform transactions.
In a bid to properly address the issues highlighted earlier, Raydium was built with several features.
The order book is unarguably the unique feature Raydium possesses over its similar alternatives. It shows available bid and offer prices between market participants. Through the orderbook, market participants have the ability to express the number of tokens they are willing to trade at any price.
While the exchange itself is decentralized, the orderbooks are centralized on Serum. This means the orders submitted to the orderbook by Raydium can be transacted against by anyone on Serum and vice versa. Through the power of Serum, Raydium brings orderbooks back to AMMs.
Market making is the bread and butter of Raydium that allows it to take all the tokens accrued in its liquidity pools to place orders on the orderbook according to the constant product invariant. The purpose of market makers is to facilitate the process of finding a fair price for a product as well as to provide market participants with a trading partner. It is rewarded for each of these services. If a fair price is found, the market maker would earn the price difference between their bid and ask prices when participants trade against them. For providing liquidity the market maker earns a rebate fee from the exchange.
Coin Swaps is another feature available for users who do not require the orderbook but enjoy cheap gas and low trading fees. Raydium has implemented this feature for users who just want to swap their tokens.
As usual, farming is available and allows Liquidity Providers (LP) generate additional rewards for contributing.
Another special feature is the dual Reward Farming. The Raydium community will govern the pools which receive farming rewards. Tokens that want to reward users for providing liquidity can also add additional reward tokens.
When tokens are added to a liquidity pool, Raydium issues a liquidity provider (LP) token to track what percentage of the pool the owner of this token represents. For certain pools decided by the Raydium community, these tokens can be farmed to return additional Raydium as rewards. In addition to this, projects can sponsor certain pools by adding tokens to a reward pool to further incentivize users. This helps new projects in two ways: users are further incentivized to hold project tokens and receive additional rewards while they provide further liquidity for these projects.
RAY is the official utility token for Raydium, it is an SPL token that runs on the Solana blockchain and gives the holders a claim on the ratio of all collated trading fees and expenses. On Raydium, each trade or swap Costa 0.25% fee, where 0.22% goes to the LPs, and the rest is used for staking RAY tokens on the protocol.
Who Are the Founders of Raydium (RAY)?
Although there has been little to no evidence on the tram of developers responsible for Raydium, there are anonymous alibis present used in describing them.
Alpharay is the head that leads the overall strategy, operations, product direction, and business management for Raydium.
After driving into DeFi in the summers of 2020, Alpha saw a market need for an orderbook AMM to aggregate liquidity, and with the release of Serum, pulled together a team of experienced trading developers to tackle the issue.
XRay is the CTO and Development leader of Raydium and has 8 years of experience in trading and low latency systems architect for both traditional and crypto markets. XRay designs all of Raydium’s systems and infrastructure.
GammaRay heads the marketing and communication while also performing a major role in the product’s strategy and. Prior to Raydium, Gamma’s focus within cryptocurrency has been technical analysis and discretionary trading.
StingRay is a developer with an eye for detail and innovative solutions. StingRay is experienced in operating systems and trading development. StingRay is the senior developer for radium’s on-chain order book AMM.
RayZor has written many smart contracts for Ethereum as well as BSC and gas a degree in systems security engineering working with white hat tracker. RayZor ensures all the capital in Raydium is secure.
What is Raydium (RAY) Used for?
Raydium utilizes equations and prices orders on the orderbook according to the Fibonacci sequence to provide up to 20 orders at a variety of prices.
Raydium is a pure market maker which takes the tokens locked in it to create a series of orders at different price points and sizes to provide liquidity.
Raydium swaps provide a simple, cost-effective, and high-speed option for quickly swapping one token for another with efficiency at which it is executed will save significant costs for traders.
Also, Raydium has provided a platform for liquidity providers who frequently reallocate their assets to different pools the cost savings of swapping tokens will be significant, allowing for more opportunities and flexibility to take advantage of yield earning opportunities on Raydium.
The RAY token can be used in staking. It allows holders to stake RAY tokens to generate additional yield earned from trading fees.
What Is the Unique Point of the Raydium (RAY)?
Unlike other AMMs which lack an order book to aggregate across liquidity pools. Raydium leverages existing Serum order flow as well as supplies the liquidity in its own pools, benefiting the entire ecosystem.
How Much RAY is in Circulation?
Raydium has a circulating supply of 73. 767 million RAY tokens.
Is Raydium (RAY) Network Secured?
Unlike other centralized platforms with interconnected DEXs servers that extend from one end to another. These platforms hold your assets at the exchange to your private wallet, making it vulnerable to hackers. The holding of your assets at an exchange is a feature that cannot be found in Raydium.
How do I buy Raydium (RAY)?
Raydium offers loads of benefits and incentives whilst having the physical components like its POS contactless card and an additional secured app and platform. To enjoy benefits like the ease in acquiring cryptocurrency, faster payment, and a secured network, the RAY token is necessary to have. Its adoption rate has increased and made it steadily available across several platforms. To buy RAY tokens, the steps below provide.
the right direction to purchasing their tokens.
* Open an account with the crypto trading platform.
* Transfer your specific fiat currency to your account.
* Wait for your deposit to be confirmed and Buy RAY tokens through your trading account.
Which Cryptocurrency Wallet Supports Raydium (RAY)?
The PTPWallet platform supports many cryptocurrencies simultaneously, such as RAY tokens. Because of its speed, flexibility, and unique features, it has grown to become one of the most used new platforms. In addition, users can easily use PTPWallet as their main Raydium wallet as it offers a simple and interactive interface, making it easy to navigate its system.
