SpookySwap: The Leading AMM DEX on Fantom Opera Network

 

What is SpookySwap?

SpookySwap is an automated market maker (AMM) decentralized exchange (DEX) on the Fantom Opera Network. Similar to UniSwap, it is designed specifically for the Fantom chain, with a unique spooky theme that aligns with Fantom's overall horror-inspired ecosystem.

Alongside other decentralized applications (dApps) on Fantom, such as Geist Finance, Scream, and Tomb Finance, SpookySwap offers essential DEX functionalities such as token swapping and liquidity provision. However, it goes beyond the basics by providing built-in cross-chain bridges and NFT capabilities. The governance of the platform is facilitated by the BOO token.

 

What Can You Do on SpookySwap?

SpookySwap enables users to access a range of DeFi features, including:

1. Token Swapping: Exchange one token for another within their dApp.
2. Liquidity Provision: Contribute tokens to liquidity pools (LP).
3. Farming: Stake LP tokens to earn $BOO tokens.
4. Staking: Stake $BOO tokens to earn additional benefits on the platform.
5. Bridging: Transfer tokens from other chains to Fantom using the built-in bridge.
6. NFT Staking: Stake your Magicat NFT to earn higher $BOO rewards and enjoy the company of a cute cat!

 

Is SpookySwap Secure?

SpookySwap has a solid track record and has not experienced any hacks or exploits. However, like any other AMM or DEX, it is exposed to similar risks, including smart contract vulnerabilities and rug pulls. The primary risk for liquidity providers is impermanent loss.

Overall, the platform has implemented security measures and has undergone audits by Certik, receiving a "low-risk" rating from Rugdoc. Nonetheless, it is crucial to practice proper risk management and avoid overexposing assets on any dApp.

 

BOO Token (SpookySwap Token)

The platform utilizes the BOO token as its governance token, used for staking in liquidity pools and accessing native token rewards. As a relatively new DEX, SpookySwap commenced operations in April 2021.

 

SpookySwap Compatible Wallets

SpookySwap DEX allows you to connect with various wallets, giving you the flexibility to choose the one that suits your needs. Currently, it supports connectivity with six different wallets. Here is the list of these wallets:

1. MetaMask
2. Coinbase Wallet
3. Trust Wallet
4. WalletConnect
5. TokenPocket
6. WalletLink

 

Where to Buy SpookySwap Tokens?

If your dream is to become a $BOO token holder, this section is for you! We will guide you on where you can acquire some $BOO tokens.

To get your hands on $BOO tokens in your wallet, you need to visit their Coingecko market page. From there, you will be directed to the token's trading locations. Refer to the screenshot above for the available markets. These may include centralized exchanges (CEX) or decentralized exchanges (DEX). As a general guideline, look for exchanges that offer the following services:

1. Low Spread
2. High Volume
3. Green Trust Score

These factors help ensure that you obtain $BOO tokens at the correct price. Based on the list above, I recommend obtaining $BOO tokens from MEXC Global or directly from the SpookySwap platform itself.

 

SpookySwap: Swapping and Withdrawal Fees

One of the main complaints about centralized exchanges is the high fees they charge for their services, and this is indeed a fact. However, they provide great usability and the convenience of seeking help from centralized institutions when encountering issues, which makes it a fair trade-off for many users. On the other hand, when it comes to decentralized exchanges, many of them do not charge any transaction fees at all, which is why DEX supporters praise DEX as superior to its more centralized counterpart, CEX. Of course, the downside is that if you encounter any issues on a DEX, who are you going to call, the Ghostbusters? As you can see, both sides have their merits.

That being said, SpookySwap is not completely fee-free. They charge a fixed fee of 0.20% per transaction for both liquidity providers and recipients, which essentially covers the cost for liquidity providers. These fees may be subject to change through community governance, and remember the BOO token we mentioned earlier? Yes, that one. It has its place in the tokenomics of the platform, and we anticipate its scope to expand as SpookySwap DEX matures in 2021.

Withdrawal Fees Apart from network fees, SpookySwap does not impose any transfer fees or withdrawal fees. Network fees are paid to the relevant crypto/blockchain miners, not to the exchange itself. Network fees vary daily depending on the network traffic at any given time. Therefore, it is wise to choose your trading time carefully, as it may ultimately reduce the fees you have to pay.

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The History of SpookySwap

SpookySwap, the first native Automated Market Maker (AMM) decentralized exchange (DEX) on the Fantom Opera network, was launched in April 2021 by an anonymous development team. It aims to be a trader-centric DEX, leveraging the speed and low gas fees of the Fantom Opera network.

The protocol governance token, BOO, was introduced on April 25, 2021, through the initial DEX offering (IDO) and initial farm offering (IFO), as well as airdrops to the AlchemixFinance and Alpha Finance Labs communities (holders, stakeholders, farmers, etc.).

In addition to the aforementioned airdrops, the SpookySwap team has focused on various other methods to onboard users and developers to the Fantom network, such as international outreach and competitions through Twitter, as well as the Build On Opera (BOO) grants program targeting developers. Early governance votes were mainly centered around adding new farms, and the majority of proposals were approved.

In the following months, SpookySwap added native limit orders supported by the Gelato Network, in addition to website improvements with a focus on UI/UX. The solution underwent a comprehensive audit by Certik, which did not discover any critical, major, or medium findings.

In July 2021, SpookySwap introduced its first unique feature, the Fantom Bridge. Initially supporting two networks (ETH and BSC) and approximately 25 tokens, the bridge significantly expanded its network and added more tokens and 6 new networks in the following months.

Another significant and unique area of SpookySwap is NFTs. Pre and post-launch, the team announced the minting of official NFTs through ZooCoin.Cash, with the first batch being awarded to winners of the SpookyArt competition.

There are two types of official SpookySwap NFTs on ZooCoin: Emojis (available through giveaways, competitions, etc.) and Web Assets (available only for purchase on the ZooCoin marketplace). Shortly after, the team began public discussions on the development of an NFT platform and Magicats, a limited NFT series created by SpookySwap's Chief Artist.

Magicats was eventually launched on PaintSwap in late October 2021, selling out within five minutes. Community voting determined that 50% of the royalties from each sale would be used to buy BOO for a buyback single-sided pool. Around the time of the Magicats announcement, the first xBOO staking pool was launched alongside YEL.finance and Screamer, allowing BOO holders in a single staking pool to earn additional tokens while also earning BOO from the buyback of transaction fees.