MDEX is an open-source decentralized protocol based on the Huobi Chain. In fact, this is an acronym for the Mandala Exchange, a cryptocurrency trading platform and AMM (Automated Market Maker) that was launched in January 2021. The team standing behind the project went on with the research until a safe and reliable configuration of the architecture was defined. The platform has quickly gained a high reputation among users looking for convenient trading options with the support of cross-chain transactions. Working across different protocols, the platform takes the best from different systems, thus creating an enhanced, sophisticated solution with a brilliant performance.
By launching the MDEX exchange, the company pursued the goal of establishing an exchange with decentralized governance following the DAO pattern as well as ICO/IMO on such blockchains as HECO and Ethereum. The team of developers focused on interoperability within several blockchains that made the system exceptional. For this reason, HECO has been chosen to meet this requirement. Apart from HECO, the architecture of MDEX works on BNB Chain, previously known as BSC (Binance Smart Chain).
The MDEX ecosystem also has its native asset MDX to fuel its infrastructure that features a range of functions strengthening the platform. MDX is a utility token that additionally performs governance functions as the users of the platform need native tokens for trading, voting, and repurchasing assets.
At the time of writing, the cryptocurrencies supported by the platform include Bitcoin, DASH, Bitcoin Cash, and Ethereum. Employing a dual mining mechanism that embraces liquidity mining and transaction mining, MDEX enables its users to make good revenues.
The number of offerings on the platform helps members of the community earn rewards in different ways. They include, for instance, liquidity mining, Initial MDEX offering or IMO, swapping, staking, fun payback, and a boardroom that was initiated to support liquidity providers (LPs). Users of the platform can stake their assets to get MDX rewards. This is a good motivation for them to hold MDX to earn more. The platform offers diverse staking rewards depending on the duration of staking. The rewards are paid proportionally to the period of assets’ lockup. The platform launched its IMO (Initial Model Offering) based on the swapping mechanism in May 2021. It is also worth mentioning a Tradingview component with a candlestick chart embedded in the MDEX Market function that makes the exchange convenient for professional traders.
Users also take advantage of highly efficient AMM, guaranteed liquidity, and easier mechanism of dApps launch for developers who want to release their products. The platform is unique thanks to such features as Innovation Zone helping users to trade new tokens, the Boardroom mechanism, which is actually a Board of Directors, and a 15 million USD ecological fund launched by the company.
The platform supports decentralized governance, so the strategy of development is established after the voting procedure. Voting is also needed to enlist new assets on the platform. Any user can make a proposal, which is later discussed by the community and offered for the vote.
Why HECO Chain was chosen by MDEX
HECO, also referred to as Huobi Eco Chain, is a highly efficient and energy-saving public chain. Since it is EVM-compatible, developers can create and launch their dApps on HECO using Ethereum-based smart contracts. The benefits of HECO include high-speed transactions and low fees, which improve the cost-efficiency of the network.
HECO Chain technologies
Heco is based on the HPoS consensus mechanism that is characterized by low transaction cost, low transaction delay, and high transaction concurrency. The mechanism can’t be supported by more than 21 validators. The team of developers behind the network try their best to make the chain efficient, so they have created Layer2 to strengthen the Ethereum network.
HECO is the first product that was developed by the in-house team on the Huobi Open Platform that relies on the biggest trading ecosystem that functions all over the globe. The main commitment of the platform is its adherence to innovations and breakthrough technologies in the cryptocurrency industry. The ecosystem tries to create the full-cycle ecological loop including such stages as technology development, its application, promotion, and, eventually, trading.
Using the network, it is possible to establish asset bridges for cross-chain transactions across BTC, ETH, stablecoins, and other assets. It is implemented by locking tokens on the native chain for the further generation of the locked amount on Heco. This cross-chain technology that is called the meta-transaction function is widely used to expand the ecosystem and raise the level of the network’s decentralization. The benefits include the reduction of gas fees, lower fees for dApps developers during the migration of their products to the HECO network, and reduced costs for dApps users. Lower fees on the Heco ecosystem increase the popularity of the platform and provide an alternative for popular but clogged ecosystems with high fees such as Ethereum.
Constant work is conducted over the Layer2 technology that enables to expand performance without compromising on the decentralized benefits of the protocol. The team also plans to introduce large-scale commercial apps, thus supporting numerous traditional businesses and enabling their smooth work on the chain.
HECO Chain platform
The initial version of HECO came to life at the end of 2021. The team started working on the platform, giving priority to such features as ease of use and stability of the system. The platform gives the opportunity to enter the dApp development industry with a low threshold. Low fees charged by Heco entice professional developers into various activities within the system.
The multi-chain protocol came into its existence in March 2021 after the integration of the network with BNB Chain. It empowered the platform, opened new horizons, and revealed the potential of the system. The platform tries to connect centralized and decentralized platforms to improve scalability and mass adoption of the cryptocurrency industry. This is one of the goals implemented by the facility as it fulfills its plans outlined in the roadmap published on the official website of the Heco network.