Greetings community,

The highly anticipated mainnet launch of ShadeSwap, the privacy-preserving decentralized exchange built by Shade Protocol, is launching on April 12th, 2023. ShadeSwap is designed to deliver unmatched security, performance, and interoperability for the decentralized trading experience.

ShadeSwap is both a StableSwap, AMM, and DerivativeSwap - providing a unique and powerful trading experience for users such as yourself. Nearly 1.5 years of development has gone into creating this product for you the community, and we are delighted to finally bring privacy-preserving DeFi mainstream with this monumental product launch.

Why ShadeSwap?

Leveraging private tokens, concentrated liquidity, and a novel asymmetric trading curve, ShadeSwap is set to be the most capital efficient trading experience for any user looking to swap their L1 tokens (ATOM, OSMO, JUNO) for derivatives (stATOM, stkd-SCRT, stOSMO, stJUNO, etc.).

Asymmetric concentrated derivative liquidity - First Ever in DeFi

With only $1M in liquidity in a pool, users are projected to incur only 0.13% in slippage fees on a $100,000 trade between a derivative and a corresponding L1 token. Talk about efficiency!

Not only will derivative trading be hyper efficient, but ShadeSwap also includes the first ever StableSwap with private token support. The following is the list of supported stablecoins for users to trade:

• SILK

• IST

• USK

• CMST

• DAI

• FRAX

• USDC.axl

• USDT.axl

For liquidity providers, Shade Protocol squarely places staking derivatives as the backbone of the liquidity providing experience. No longer do you have to pick between staking rewards or liquidity providing yield. For the majority of pairs on ShadeSwap you can do both, simultaneously.

Pairs

Please note that a variety of supported pairs are contingent upon the launch of Silk - the flagship stablecoin of Shade Protocol. Silk is slated to launch after ShadeSwap pools and liquidity are stable - ensuring user stories are operating smoothly.

The following is the list of all supported pairs:

• SILK/SHD

• stATOM/stOSMO

• SILK/IST

• SILK/USDC

• SILK/USDT

• SILK/USK

• SILK/CMST

• SILK/DAI

• SILK/FRAX

• SILK/stJUNO

• SILK/stOSMO

• SILK/stkd-SCRT

• SILK/stATOM

• SHD/stATOM

• SHD/stkd-SCRT

• SHD/BLD

• ATOM/stATOM

• OSMO/stOSMO

• JUNO/stJUNO

Earn Rewards

There will be a variety of earning opportunities for users - with multiple partners bringing their incentives to ShadeSwap pairs (primarily in the staking derivative and stablecoin categories).

Liquidity providers on ShadeSwap can look forward to the following:  

• No lock up periods

• Instant withdraw

• Single-sided LP options

• Passive yield from staking derivatives

• Lower volatility on Silk pairings

• Earn multiple reward tokens

• Trading fees

As Shade Protocol governance evolves in 2023, reward distribution governance will be transitioned over to governance and assemblies.

Prepare - IBC Bridge Your Assets Into Shade

Looking to trade or become a liquidity provider? The above tutorial walks you through how to use the Shade Bridge (a generalized IBC interface) to bring in your Cosmos assets onto Secret Network in advance of the launch of ShadeSwap!

Perhaps you are an Ethereum user eager to bridge in DAI and FRAX onto the StableSwap? If so, reference the above tutorial to prepare your assets in advance!

Finally, if you are interested as a liquidity provider or trader to have derivatives ready in advance of ShadeSwap, follow the above tutorial.

Timeline

The timeline for ShadeSwap is as follows:

• April 11th - SNIP migration

• April 12th - ShadeSwap launch

• April 18th - 25th, ShadeLend + SILK go live

Testnet

Shade Protocol hosted three incentivized testnet for UI/UX bugs - this led to drastically improved smart contracts and user experience.

Conclusion

Shade Protocol is an ambitious array of application-layer products focused on a simple end user experience that involves the incorporation of privacy by default. These interconnected privacy-preserving DeFi products built on Secret Network will change DeFi as we know it — empowering the next generation of value creation and exchange. Shade Protocol is launching Silk: a privacy-preserving over-collateralized stablecoin pegged to a basket of global currencies and commodities, built on Secret Network.

Without privacy, DeFi is incomplete. Traditional financial markets offer a degree of privacy for users, and as a result offer up greater protections in some capacity than existing DeFi markets. Shade Protocol will be the world’s first truly cohesive decentralized and privacy-preserving financial applications — ushering in a golden era for Web3. Shade Protocol will always push for privacy by default, privacy as an expectation, and privacy as the key to unlocking the full value of a decentralized future.

But we can’t do this without community. We need you to join our community and help make Silk and Shade Protocol a reality.

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Information provided in this post is for general informational purposes only and does not constitute formal investment advice. Please read the full disclaimer at shadeprotocol.io/disclaimer before relying on any information herein.