Symbiosis launched its mainnet beta recently, and a contest on Publish0x is a good reason as any to deep dive into it and give it a go. The DeFi world is constantly evolving, and every new product makes it just a little bit better and easier to use and understand. Symbiosis is a DeFi protocol that makes life simpler with multi-chain interoperability.
What is Symbiosis?
Symbiosis looks and works just like a DEx, however, unlike most DEx platforms, it works between different blockchains. Anyone familiar with popular Uniswap, Quickswap, or Pancakeswap will know that it means no KYC, no logging into any platform, and you maintain custody of your funds throughout the swap. What takes Symbiosis to the next level is the cross-chain swap. Here you can swap your ETH to BNB, for instance, in one transaction. It uses smart contracts, a complex network of relayer nodes, and a great deal of computation to arrive at the optimum way to make trades across chains eliminating the time-consuming task for the user to find out the best way to do it.
The relayers network is blockchain agnostic and permissionless. It is used to broadcast information between blockchains and reach a consensus. Anyone can join the network to become a relayer. The SIS token is deployed on Ethereum, but, the use of stable coins and wrapped tokens allows for swaps between any blockchain.
How to trade on Symbiosis?
Trading on Symbiosis is pretty straightforward, especially if you are accustomed to using a DEx. Beginners, or those who want to get a feel of the platform before using the real thing, can give the test net webapp a try.
The first thing to get started is to get some tokens to make the trade. Test net tokens are available from the faucet at the bottom of the page. Alternatively, you can get them directly from the respective chain’s faucets.
Once you have the tokens, you can follow the steps to make a swap. These steps will work for mainnet or testnet.
- First, connect your wallet to the web app. It supports Metamask, Trust Wallet, XDDEFI, Coin98, ONTO Wallet, and Wallet Connect. If you don’t have a wallet installed, you’ll need to download the plugin.
- Then select the network.
- Choose the assets that you want to swap. I went with ETH & CAKE.
- This gives you an estimate of the tokens you get when you swap, the gas amount, and the swap path.
- Once you are satisfied, confirm the swap and get the assets into your wallet.
Why use Symbiosis?
If you are looking for a non-custodial platform where you can make a cross-chain swap, then Symbiosis is your answer. It brings the advantage of a decentralized exchange, where you retain ownership of your assets while making a swap directly from your wallet. This greatly enhances the user experience by eliminating multiple steps and taking care of all the variables to provide a seamless experience. Currently, the protocol supports four networks on main net - BNB Chain (formerly BSC), Ethereum, Polygon, and Avalanche, with more networks to be added soon.
The SIS token – Provide Liquidity and Stake to earn passive income.
SIS is the protocol token of Symbiosis Finance and is used for DAO governance and for staking to run a relayer node. Every DEx needs liquidity, and in a decentralized environment, anyone can add to the liquidity pools (LPs). Symbiosis uses stable coin-wrapped token (sToken) pools to enable multi-chain swaps. The pools are located on the blockchain with the lowest gas fee to optimize exchange costs. Adding liquidity can be rewarding and provide passive income opportunities. The ‘Pools’ tab of the web app shows the available pairs. Add liquidity to one or both tokens.
The LP rewards can be harvested and staked to compound earnings. Staking pools are more stable and can offset the associated risks of being a liquidity provider.
Symbiosis Finance addresses the problem of fragmented liquidity across different blockchain networks by setting up a complex system that calculates and provides the best way to make a swap. While the front end delivers the same experience as any DEx, where the transaction happens in a few clicks, the backend does all the heavy lifting to provide a smooth user experience. If you are interested to read more about the Cross-Chain Liquidity Engine or the Relayers Network, you can head over to the documentation here and here. While it says that the relayers network is open for all, I could not find details on the stake required for a relayer node or how to run one.
Symbiosis moves things forward from the point of user experience. Crypto can be intimidating for most people, and the task of learning how to do a multi-chain swap can knock the wind out of most. Symbiosis runs an intricate system that advances towards mass adoption. This positive outlook is echoed with backing by leading names like Blockchain.com, Binance Labs, Dragonfly Capital, and 3commas.
Lastly, if you are looking for a job in crypto, don’t forget to check out their careers page as they are hiring for solidity engineers, frontend developers, and a couple of other positions.
Disclaimer: Cryptocurrency trading and investment are subject to high risk. Always do your own research before you invest. The information in this article is meant to be for educational purposes and is not meant to be taken as financial advice.
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