SpiritSwap, a partial fork of PancakeSwap, is a decentralized exchange on the Fantom Opera blockchain launched in March 2021. The platform is an Automated Market Maker (AMM) aiming to serve its traders, stakers, and farmers and bring liquidity to Fantom. AMM means that markets for token pairs are made automatically after liquidity providers deposit a pair of tokens.
To use SpiritSwap, you need to migrate to the Fantom Opera Chain first. You can trade, stake, exchange tokens, earn with liquidity pools, and farm on this platform.
The SpiritSwap trading platform offers users an easy way to provide liquidity and exchange tokens on Fantom through automated liquidity pools (LPs). To become liquidity providers, users must deposit two tokens of equal value. In return, they get SPIRIT-LP tokens that represent their share. Providers receive a 0.25% commission for every swap performed on their pair, which is added back to the LP. Anyone can create an LP and set the price for the chosen tokens. They can claim their base tokens at any time.
The SpiritSwap’s decentralized lending network runs on the Ola Finance lending protocol. Available digital assets include USDC, FTM, wETH, wBTC, wBNB, and SPIRIT. Borrowing is based on over-collateralization. In other words, you must provide a collateral of a higher value if you want to take out a loan.
To ensure its reliability and users’ protection SpiritSwap passed the MixBytes audit in June 2021. To use SpiritSwap you will need Metamask Wallet.
The SpiritSwap features and benefits
Running on Fantom brings SpiritSwap such benefits as low gas fees, short block times, a higher level of decentralization compared with BSC, and EVM compatibility. The exchange has four incentivized liquidity pools: FTM-SPIRIT, FTM-USDC, FTM-wETH, and FTM-wBTC. NFT's are available on SpiritSwaps official collection page through drops. Transactions are mostly completed in a second and cost less than a cent. The platform gives users full control over their assets. To make trading easy and incentivize its members, the exchange provides such features as farms, the Markets tab, Charon, and the Supply Markets section.
The SpiritSwap’s team aims to build a strong community around its project supporting farming rewards for other tokens created on Fantom. Farms and their emissions are determined by voting. Boosted farms increase APYs rewards up to 250%.
The Markets tab shows collateral factors for each of the supported assets. To reduce the liquidation risk users can choose a maximum safe amount.
Charon, a custom-built bot, gives SPIRIT holders an opportunity to receive exclusive rewards and enter the Realm of Spirits, a giveaway club on Discord. However, in order to be eligible members must hold or stake at least 10,000 SPIRIT or the equivalent on SpiritSwap. Winners are awarded with merchandise, NFT’s, SPIRIT, FTM tokens and get an opportunity to enjoy airdrops from SpiritSwap partners.
The Supply Markets section allows depositing and withdrawing digital assets from the network. It shows the available tokens, their annual percentage yield (APY), and the wallet balance.
The SpiritSwap token
SPIRIT is the SpiritSwap protocol’s native token with a maximum supply capped at 1 billion SPIRIT coins. The tokens were distributed in the following way: 81.82% were reserved for farms, 8.18% is kept for DAO, 7.50% of the total supply is intended for the exchange development, and 2.5% is used for airdrops. The SPIRIT emission rate is 40 tokens per block. 200 million tokens or 20% of the total supply were pre-minted. 10% of them were reserved for airdrops, and 10% went to the core team.
Liquidity providers on SpiritSwap are able to trade, stake, and farm SPIRIT tokens.
They can trade SPIRIT against WFTM, DAI, START, UNIDX, GRIM, USDC, and ICE. Participants can earn a percentage of each trade in a pool when they stake their SPIRIT LP tokens in one of SpiritSwap’s farms.
InSPIRIT is a non-transferable utility and governance token of SpiritSwap. It brings its holders such benefits as SPIRIT farming rewards, a share of the protocol income, and voting. InSPIRIT owners can get a 2.5x increase in APY on the farm. In addition, they are eligible to receive a share of all swap fees. Users can vote on protocol improvement proposals and farm emission allocations once a week. 1 inSPIRIT equals 1 vote. To acquire inSPIRIT users must lock their SPIRIT tokens for any timeframe between 1 week and 4 years. The longer is the period, the more inSPIRIT they receive.
WinSPIRIT is a transferable wrapped version of inSPIRIT that auto farms can create and accumulate to increase the APR of their farm vaults.
The transaction commission is 0.05%. It is used to buy back SPIRIT tokens, which are distributed across inSPIRIT holders once a week. Traders are charged a fee of 0.3% for each swap. 5/6 of this fee goes to liquidity providers and 1/6 of the fee goes to the vault used to redeem and distribute SPIRIT to inSPIRIT holders. Each farm deposit is subject to a 1% commission used to buy back and burn the SPIRIT. Boosted Farms have a 1% deposit fee, used to buy back SPIRIT which is further allocated to inSPIRIT holders.
SpiritSwap team and partners
The SpiritSwap exchange has a devoted team with experience in numerous aspects of software engineering, from web and back-end development to game programming.
Robert Neir, a DeFi investor and a video game programmer, is the co-founder of SpiritSwap. Robert managed to receive a grant from the Fantom team to launch this DEX project. Marcos Iglesias is a project manager and DevOps engineer at SpiritSwap. He is also the Head and CTO of Spark Solutions, a web and mobile development studio from Argentina. Other team members include Eric Saúl Eveleens, a developer, Victoria Geddes and Pablo Munaretto, front-end blockchain developers, and Nicolas Limonoff, a front-end web developer.
Among SpiritSwap partners are Hedgey (a derivatives protocol), CasperDefi (a multichain DeFi suite), Popsicle finance (a yield optimization platform for liquidity providers), Gelato (an application for smart contracts automatization), Graviton (an app to stimulate liquidity for wrapped assets), and Covalent (an API bringing visibility to blockchain data points). SpiritSwap has also partnered with Robovault to implement strategies surrounding the use of inSPIRIT and SOUL CREDIT.