What is Ellipsis?

Ellipsis (EPX) is a decentralized exchange operating on the BNB Smart Chain (BEP20) platform. It is an Automated Market Maker (AMM) that allows users and other decentralized protocols to exchange tokens with low fees and minimal slippage. Unlike traditional exchanges that match a buyer and a seller, Ellipsis uses liquidity pools to facilitate exchanges. The native token for Ellipsis is EPX, which has several uses including compensating liquidity providers, voting on pool incentives, and locking for platform fees. The total supply of EPX is 132 billion tokens, with a significant portion currently in circulation.

How does Ellipsis work?

Ellipsis operates by using liquidity pools, which are pools of tokens held in smart contracts that can be exchanged or withdrawn at rates set by the parameters of the smart contract. Users who deposit tokens into these pools are known as liquidity providers (LPs). In return for their deposit, LPs receive LP tokens, which represent their share in the pool. These LP tokens can then be staked in Ellipsis to be compensated with EPX tokens. The exchange volume and low slippage on Ellipsis are achieved by maintaining a high amount of liquidity in the pools. To incentivize this, Ellipsis provides compensation in EPX tokens to liquidity providers.

What are the potential use cases for Ellipsis?

Ellipsis aims to solve three main problems in the cryptocurrency space. Firstly, it strives to provide efficient and well-priced swaps for users who need to exchange tokens. Secondly, it aims to provide yield to token holders in a safe and well-tested environment. Lastly, it seeks to provide a solution for protocols aiming to build deep liquidity for their tokens. Therefore, Ellipsis is useful for individuals who need to swap tokens, those with tokens looking for yield, and protocols seeking liquidity for their pools. Additionally, the EPX token can be used as a reward for liquidity providers, for voting on pool incentives, and for locking to boost liquidity provider rewards.

What is the history of Ellipsis?

Ellipsis is an authorized fork of Curve Finance on the BNB chain. It was designed to provide a more flexible and capital-efficient decentralized exchange on the BNB chain. The platform has grown to include a variety of pools for different tokens, and it has introduced several features aiming to improve its functionality. These include the ability to stake LP tokens to be compensated with EPX tokens, the introduction of the EPX token with multiple uses, and the implementation of trading fees. The platform operates on a weekly cycle, with locks expiring at the end of each week and voting periods running from the start to the end of a week.