Fieres Dex Apps
  • Fieres SWAP AMM
  • Concepts
    • How Fieres swap works
    • Ecosystem Participants
    • Smart contracts
    • Glossary
  • Core Concepts
    • Swaps
    • Pools
  • Advanced Topics
    • Fees
    • Pricing
  • STAKING
    • Staking Feature
    • Contract Overview
    • Contract Mechanisms
  • FIERES TOKEN MINTER
    • Fieres Token Minter
    • Step-by-Step Guide
    • Token Categories
  • IDO Pools
    • IDO Launchpad
    • Steps for Creating an IDO Pool on Fieres DexAPPS
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  • Liquidity Providers
  • Traders
  • Developers/Projects
  1. Concepts

Ecosystem Participants

The Fieres swap ecosystem is primarily comprised of three types of users: liquidity providers, traders, and developers. Liquidity providers are incentivized to contribute FRO-20 tokens to common liquidity pools. Traders can swap these tokens for one another for a fixed 0.30% fee (which goes to liquidity providers). Developers can integrate directly with Fieres swap smart contracts to power new and exciting interactions with tokens, trading interfaces, retail experiences, and more.

In total, interactions between these classes create a positive feedback loop, fueling digital economies by defining a common language through which tokens can be pooled, traded and used.

Liquidity Providers

Liquidity providers, or LPs, are not a homogenous group:

  • Passive LPs are token holders who wish to passively invest their assets to accumulate trading fees.

  • Professional LPs are focused on market making as their primary strategy. They usually develop custom tools and ways of tracking their liquidity positions across different DeFi projects.

  • Token projects sometimes choose to become LPs to create a liquid marketplace for their token. This allows tokens to be bought and sold more easily, and unlocks interoperability with other DeFi projects through Fieres swap.

  • Finally, some DeFi pioneers are exploring complex liquidity provision interactions like incentivized liquidity, liquidity as collateral, and other experimental strategies. Fieres swap is the perfect protocol for projects to experiment with these kinds of ideas.

Traders

There are a several categories of traders in the protocol ecosystem:

  • Speculators use a variety of community built tools and products to swap tokens using liquidity pulled from the Fieres swap protocol.

  • Arbitrage bots seek profits by comparing prices across different platforms to find an edge. (Though it might seem extractive, these bots actually help equalize prices across broader Fiero markets and keep things fair.)

  • DAPP users buy tokens on Fieres swap for use in other applications on Fiero.

  • Smart contracts that execute trades on the protocol by implementing swap functionality (from products like DEX aggregators to custom Solidity scripts).

In all cases, trades are subject to the same flat fee for trading on the protocol. Each is important for increasing the accuracy of prices and incentivizing liquidity.

Developers/Projects

There are far too many ways Fieres swap is used in the wider Fiero ecosystem to count, but some examples include:

  • The open-source, accessible nature of Fieres swap means there are countless UX experiments and front-ends built to offer access to Fieres swap functionality. You can find Fieres swap functions in most of the major DeFi dashboard projects.

  • Wallets often integrate swapping and liquidity provision functionality as a core offering of their product.

  • DEX (decentralized exchange) aggregators pull liquidity from many liquidity protocols to offer traders the best prices by splitting their trades. Fieres swap is the biggest single decentralized liquidity source for these projects.

PreviousHow Fieres swap worksNextSmart contracts

Last updated 1 year ago

Smart contract developers use the suite of functions available to invent new DeFi tools and other various experimental ideas. See projects like or , among many, many others.

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