Recently, much action has been taking place in the decentralized finance arena. For example, issues such as high fees and congestion in the Ethereum network have been a significant worry. These are just two examples. As a direct consequence, protocols for Layer 1 and Layer 2 are currently under development to address these problems.
Raydium is a well-known platform that primarily emphasizes providing consumers with various options, such as a quick and effective AMM.
Let’s learn more about Raydium.
What Is Raydium (RAY)?
Raydium is built on the Solana blockchain. Raydium is an automated market maker (AMM) that enables quick token swaps, deep liquidity, and frictionless yield opportunities with the native RAY token. In addition, the Raydium AcceleRaytor platform functions as a launchpad for new applications related to decentralized finance (DeFi).
In addition, the Raydium ecosystem offers various products and services, such as Raydium Swap, Raydium Farming, and Raydium Fusion Pools, among many more. AMMs, such as Raydium, allow users to purchase and sell assets based on pools of assets supplied by liquidity providers. When buy and sell orders are executed, the assets kept in the liquidity pool operate as the counterpart of the transaction.
What Is RAY Token?
The Raydium Token, abbreviated as RAY, is a Solana Protocol Layer (SPL) token. It collects a portion of the transaction costs levied against the holders by the exchange. The price for doing a transaction or swap on Raydium is 0.25%. Of this amount, 0.22% is distributed to LPs (Liquidity Providers), and 0.03% is distributed as reward to users who stake their RAY tokens on the network.
Currently, $RAY is trading at $0.1860. The total market cap is 103.44 million.
History of Raydium (RAY)
The primary development team for Raydium uses a variety of identities and pseudonyms. Drawing on their experience in algorithmic trading in commodities, AlphaRay is in charge of the project's overall strategy as well as the creation of new business. Raydium's head of technology is a being known as XRay. GammaRay, StingRay, and RayZor join them, each participating in various marketing, trading, and computer security activities.
Late in the spring of 2020, when the team was just getting started in DeFi, they decided to tackle the problems they observed in the DeFi systems. They started generating code and investigating different cooperation prospects for their AMM before ultimately deciding to work with Serum to provide an innovative solution to the DeFi problem.
In February of 2021, the mainnet of Raydium was launched.
Features of Raydium (RAY)
Raydium can provide AMMs access to Orderbooks by utilizing the power of Serum. Users of Raydium can place Limit Orders, Market Orders, and other types of orders thanks to the liquidity supplied by Serum.
In a manner analogous to other alternative market makers (AMMs), Raydium enables market participants to conduct trades utilizing the liquidity its pools supply. Its purpose is to facilitate trading activity between assets that are not actively traded. Thanks to this functionality, users can change their tokens without needing to order books, all while taking advantage of cheap gas and reduced trading fees.
Like other automated multi-currency management systems (AMMs), liquidity providers will have the opportunity to receive rewards for contributing liquidity. RAY tokens will be used as an incentive for critical pools to participate. Recent developments at Raydium have resulted in permissionless pools, which make it possible for anybody to establish tradable AMM pools. After all, this has been said, introducing the permissionless pool will produce exceptionally stable liquidity for the Raydium community.
The term "farm" refers to a liquidity pool that allows liquidity providers to create RAY tokens as farming rewards in addition to the trading fees that they provide to the pool. Raydium farms are an example of this type of pool.
Staking is an easy way to earn additional RAY tokens if you already have some RAY tokens in your possession.
AcceleRaytor is a launchpad for the most recent Solana projects, allowing such companies to attract financing and generate initial liquidity.
RAY Token Value
The RAY token is the native utility token of the Raydium platform, and it offers several advantages to its holders. To begin, owners of RAY tokens can stake their tokens to collect protocol fees. Second, owners of RAY tokens can stake their tokens to earn token launch event allocations. Thirdly, the RAY token will be used for protocol governance, allowing the Raydium community to vote on ideas to make changes to the protocol. These modifications include adding new features or improving existing ones. In addition, those that contribute liquidity to liquidity pools referred to as "Raydium farms" can earn RAY tokens by doing so.
How to Buy RAY Tokens?
CoinEx is a global cryptocurrency exchange, trusted by 5+ millions of users worldwide with 100% reserve. With its 700+ tokens supported, including RAY, users can now trade easily and seamlessly. To purchase RAY on CoinEx, follow the steps below.
If you already have a CoinEx account, this is how to purchase and sell RAY on CoinEx:
- Enter your login information: To access your CoinEx account, visit the website or launch the app and enter your email and password.
- Put funds in your account to make RAY purchases. You can deposit the funds via bank transfer, credit card, etc.
- Once you have funds in your account, you may buy RAY by going to the RAY trading page and choosing the trading pair you wish to use.
- Tokens (USDT, BTC, ETH, and CET, etc.) can be exchanged for RAY. Put in your order and the quantity you want to buy.