MilkySwap Decentralized Exchange Review

MilkySwap is a custom-built DEX that works on the Milkomeda sidechain for Cardano. Some of the advantages this platform offers include the low-cost exchange of tokens, quicker transactions, and low slippage. It uses a combination of the SushiSwap and CurveDAO farming models. Unfortunately, we could not find info on the company such as its founding year, location, contact number, etc. 

MilkySwap overview

The significant aspects of this DEX that make it competitive as per the vendor are:

• The DEX offers a simple trading interface for seamless swapping of tokens.
• $MILKY is the native token of the platform and $CREAMY is the governance token.
• A total of 80,000,000 $MILKY are present.
• 60% of the token is community-owned.
• The company has set aside 5.5% of the native tokens for airdrop events.
• It supports the metamask wallet.
• A wide number of coins and tokens are supported by the platform.
• Transferring tokens from another chain to the Milkomeda network a bridging method is present.

How does MilkySwap work?

The DEX allows for all the following:

1. Trading $MILKY tokens

The service offers a simple trading process. You can link your wallet to the DEX, choose a token you want and start trading.

2. Farming

Proven farming models like SushiSwap and CurveDAO models are used in combination by this DEX. The robust locking method of CurveDAO and flexible emissions of Sushiswap are used for efficient farming.

3. Creating a liquidity pool

You can create liquidity by choosing the token pair you want to provide liquidity. Add the amount you want to give and pay the gas fees. You get MilkySwap LP tokens.

4. Churning

When you lock your $MILKY tokens for a certain amount of time, you get the governance token, $CREAMY. The holding time is anywhere between one week and 4years. For instance, if you hold 1 $MILKY for 4 years, you get one CREAMY. You get to vote on the DAO and also collect a fee of 0.05% with the token.

What can you buy on MilkySwap?

The DEX uses the Milkomeda sidechain on the Cardanomainnet. The sidechain uses MilkADA as its base value for gas and paying fees. To gain access you require a Cardano wallet with ADA and a MetaMask browser extension. The platform allows the swapping of different tokens including APE, AXS, BabyMilky, ceAVAX, ceUSDC, and more.

Is MilkySwap safe?

As per the info available on the official site, the DEX is audited by PeckShield and Certik. The third-party auditors and the company’s team ensure that the platform is easy and safe to use. We could not find further info on the security measures used by the vendor.

MilkySwap fees, compatible wallets, and transactions

For using the DEX, you need to have access to the Cardano wallet, which you can create in Flint, and then access the MetaMask wallet. The Milkomeda C1 sidechain on which the DEX works uses MilkADA as the base asset for paying gas fees and other costs. 

The fees structure of the platform is as follows:

• A minimum gas fee of 60 gwei is recommended by the company
• Liquidity providers are given 0.25% of fees from all trades in the pool
• When you hold CREAMY you get to vote on the DAO and collect 0.05% of the protocol fees

What are the ways to trade on MilkySwap?

Swapping is one of the important ways you can trade on the DEX. The steps involved in swapping are as follows:

1. Visit the official site and enter the app
2. Link your wallet to the exchange. Make sure you have milkADA for covering gas fees
3. Choose a token you want to swap, enter the amount, andclick on the swap button

Besides trading, you can earn money on the DEX by providing liquidity, farming, and churning. 

Customer support

The platform offers different support methods. You can get assistance from the company via its documents, Github, Medium, Discord, and a blog. 

Should you trade with MilkySwap?