How Donkeyswap Works
Overview
The platform's unique approach fosters a sustainable, efficient, and community-driven AMM, offering enhanced rewards for both liquidity providers and ve-token holders. Donkeyswap uses a constant product formula for non-stable pairs, ensuring decentralization, censorship resistance, and security.
As a decentralized exchange, it facilitates direct asset trading without a traditional order book, allowing users to provide liquidity, earn swap fees, and receive DONLP tokens as proof of their contribution. These tokens can be used for additional yield or redeemed for their initial deposit plus accrued fees.
This continuous cycle of liquidity provision ensures deep liquidity, minimal slippage, and seamless 24/7 trading across all chains.
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