Bizswap

Automated market-making (AMM) and decentralized exchange (DEX) runed by community on ethereum blockchain.

We are a community-run project, governed by the community vote for all major changes to the protocol.

The project is currently in alpha and has a one-person engineering team, there may be higher than normal risk of bugs.

Please partake accordingly. The service is provided as-is.

AMM / Exchange

  • Swapping

  • Liquidity Pool

Swapping

As Uniswap, Bizswap is made up of a series of ETH-ERC20 exchange contracts. There is exactly one exchange contract per ERC20 token. If a token does not yet have an exchange it can be created by anyone using the Bizswap factory contract. The factory serves as a public registry and is used to look up all token and exchange addresses added to the system.

Each exchange holds reserves of both ETH and its associated ERC20 token. Anyone can become a liquidity provider on an exchange and contribute to its reserves.

A small liquidity provider fee (0.3%) is taken out of each trade and added to the reserves. While the ETH-ERC20 reserve ratio is constantly shifting, fees makes sure that the total combined reserve size increases with every trade. This functions as a payout to liquidity providers that is collected when they burn their pool tokens to withdraw their portion of total reserves. Guaranteed arbitrage opportunities from price fluctuations should push a steady flow of transactions through the system and increase the amount of fee revenue generated.

Since Bizswap is entirely on-chain, prices can change between when a transaction is signed and when it is included in a block. Traders can bound price fluctuations by specifying the minimum amount bought on sell orders, or the maximum amount sold on buy orders. This acts as a limit order that will automatically cancel if it is not filled. It is also possible to set transaction deadlines which will cancel orders if they are not executed fast enough.

Liquidity Pools

Bizswap pools allow liquidity providers to add their tokens to liquidity pools. When they do so they will receive BLP tokens (Bizswap Liquidity Provider tokens) for example if a user deposited $BIZ and $ETH into a pool they would receive BIZI-ETH BLP tokens. These tokens represent a proportional share of the pooled assets, allowing a user to reclaim their funds after a timelock of 24 hours to avoid rugpull.

As an LP its important to understand that you may be exposed to "Impermanent Loss" when providing liquidity.

However, as a liquidity provider you will also receive trade fee reward.

Bizswap Staking (4BIZ)

The Bizswap staking allows you to stake your $BIZ and receive $4BIZ in return and then you can stake it in the 4BIZ pool.

When users make trades on the Bizwap Exchange a 0.3% fee is charged.

0.05% of this fee is added to the Bizswap Staking pool in the form of LP tokens for the relative pool.

When the rewards contract is called (minimum once per day) all the LP tokens are sold for BIZ (on Bizswapwap Exchange). The newly purchased BIZ is then divided up proportionally between the 4BIZ holders in the pool, meaning their 4BIZ is now worth more BIZ.

Currently you will not see the gained amount until you have withdrawn.

It started as 1 BIZ = 1 4BIZ, but just like LP tokens the price of 4BIZ changes over time depend on how many BIZ rewards are in the pool.