THORSwap is a decentralized exchange (DEX) that supports multiple blockchains by utilizing the THORChain network (please see here our THORCHain intro article). THORSwap acts as a front-end user interface to perform cross-chain swaps done in a permissionless, trustless, and non-custodial manner.
Although multiple DEX interfaces exist that use the THORChain network, THORSwap is definitely the most recognized one and is also responsible for a majority of the trading volume on THORChain.
THORSwap currently supports 20+ different crypto assets across six blockchains (Bitcoin, Ethereum, Binance Chain, Bitcoin Cash, Litecoin, Doge and THORChain) on THORChain’s MCCN.
THORSwap’s Trading Dashboard
The History of THORSwap
THORSwap’s journey started in July 2020 when BEPSwap was launched on THORChain’s Single-Chain Chaos Net (SCCN), allowing to swap BEP2 (Binance Chain) assets. During that time, THORSwap already processed $5 billion in trade volume.
Less than a year later – in April 2021 – THORSwap as we know it today launched based on THORChain’s Multi-Chain Chaosnet (MCCN).
The Main Gateway For THORChain Liquidity Providers
THORSwap does not only allow users to swap multiple cryptocurrencies in a non-custodial manner, it also acts as the main frontend for THORChain liquidity providers (LPs). LPs can deposit capital into existing liquidity pools in the form of tokens symmetrically (two pool assets, 50% each), or asymmetrically (two assets in varying composition or even only individual assets).
Liquidity providers can analyse the performance of their position with the help of THORYield, a separate analytics platform created by the THORSwap team.
THORSwap’s Native THOR Token
THORSwap introduced its own native token $THOR in November 2021 and the team called it “a crucial step in THORSwap’s evolution” as $THOR acts as a governance token, utility token, and proof of membership.
The THORSwap team defined the following principles for its token:
- Reward the Community: THORSwap started as a community effort and THOR will help to align a large group of engaged and proactive community members
- Facilitate community-based decision making and coordination through decentralized governance
- Build a sustainable revenue model which then accrues to the community
- Increase user loyalty through various incentives like airdrops, members-only access, trade mining and trading fee discounts
THOR has a maximum supply of 500,000,000 tokens, emitted over four years. 50% of the total token allocation have been reserved for community incentives.
The THOR token allocation
The Future Plans of THORSwap
THORSwap has announced ambitious plans, that go far beyond the THORChain ecosystem. Currently, THORSwap is exclusively utilizing THORChain liquidity. Whilst the number of supported blockchains is increasing over time, however, THORChain is only designed to support short tail crypto assets.
THORSwap, therefore, plans to evolve into a multi-chain DEX aggregator to support thousands of long-tail assets across multiple blockchains, like Ethereum, Binance Smart Chain, Cosmos IBC and other Layer 1 networks.
THORSwap’s Community Engagement
THORSwap has had a large following since its early days and created a distinct community group, called “THORChads” several distinct initiatives to further grow its audience. On the THORCHads platform, THORCHain enthusiasts can check their “THORCHads Score” (comparable to the famous “Degenscore”), buy merchandise and have the chance to receive limited NFTs with motifs inspired by Norse mythology.
Reveal of a special THORChads NFT Trophy