ParaSwap

ParaSwap (founded 2019) is a decentralized exchange (DEX) aggregator that aims to provide users with the lowest cryptocurrency and token prices by automatically sending their trades through the DEXes with the lowest prices^[1]^[2]^[3].

History

ParaSwap is developed by a privately held company, ParaSwap Network. The company is situated in Paris, Île-de-France, EU^[4]^[5]. ParaSwao Founder and CEO Mounir Benchemled holds a Master of Science in Information Technology from Abdelmalek Essaâdi University^[6].

He started his career in 2007 as a Software engineer and has worked for many startups as a developer, product manager, or as a CTO. He developed an interest in cryptocurrency space around 2013 and realized that Bitcoin is only the beginning of a great financial shift. He was inspired to start ParaSwap after facing market liquidity issues as a user when buying and selling digital assets on decentralized exchanges and soon realized that it is an obstacle in mass-scale adoption. He founded 'Paraswap Network' in order to solve liquidity problems and help cryptocurrency to become mainstream in the financial world.

Mission

ParaSwap's main mission is to make cryptocurrency mainstream and it has been designed with the main aspect in mind, i.e to bring more liquidity into the cryptocurrency market. Its major goal is to bring more liquidity and ensure cheaper and faster transactions for the users. It wants to empower its users with broader options at a fair cost^[2].

Overview

ParaSwap offers a simple, fast and safe way to exchange Ethereum-native tokens by pooling together the liquidity from many decentralised services in one unique interface.
Paraswap solves problems of shortage of liquidity by providing liquidity across multiple exchanges. It also additionally gives user powers to select an exchange or split his order across multiple exchanges. It helps traders to get fair and best prices possible across the Ethereum network. Currently, it only focused on the Ethereum blockchain where most of the DeFi projects are created so supports Ethereum and ERC20 Tokens but they want to become a go-to the platform for token swaps regardless of the product type. It could be a blockchain-based game, a prediction market, or a payment app that allows its users to pay the best price using any token.

Initially, Paraswap only supported trading of tokens (ERC20) based on Ethereum Network, In May 2021, they added supports for assets created on Binance Smart Chain (BSC) and Polygon (Matic Network). So users can trade BEP-20 and also ERC20 (Matic) tokens as well^[7].

Features

Instant Liquidity

ParaSwap provides instant liquidity for Ethereum and ERC 20 token from multiple decentralized exchanges, including Bancor network, Uniswap 1 and 2, Oasis, 0x, and Kyber Network. Additionally, It also has its own pool known as ParaSwapPool. It helps the user to get the best possible prices across Ethereum Network. It uses Chainlink oracles for more accurate and reliable ETH and Ethereum token prices^[8].

Order Split

ParaSwap splits orders across multiple exchanges into one optimized and secure transaction. It can help the user get his orders fully matched compared to a single exchange.

No Swapping Fees

ParaSwap is free and doesn't take any transaction fees for users. But the user has to pay Gas fees which required and paid to Ethreum Network in order to make a transaction. ParaSwap uses GasToken.io (GST2), when possible, so that network fees are cheaper^[9].

Earning Interest

Paraswap also allows users to earn interest on trades for providing liquidity on the Bancor network. When the user provides it's token it gets paired with USDB on Bancor Network for Liquidity.

Insurance

ParaSwap users are covered for up to 1000 ETH if funds are lost during payment or a swap operation due to a bug on our Smart contract. The cover uses Nexus Mutual, which is an insurance alternative fully on-chain.

Partners and Supported Exchanges

ParaSwap has partnered with leading DeFi projects like Aave, Bancor network, and all in one DeFi wallet like DeBank. It also has support from exchanges like Bancor, Uniswap 1 and 2, Oasis, 0x, Curve.fi, and Kyber Network^[10].

Milestones

ParaSwap reached over 30 million USD volume in June 2020 just 3 months after the platform launched on March 2020^[11].

Fundraising

Paraswap raised a $2.7 million USD seed round on September 17, 2020. The investment came from 32 investors including Blockchain Capital, Alameda Research, Arrington XRP Capital, Coinfund, CoinGecko, and Aave founder Stani Kulechov among others.