The Open Network (TON) is promoting stablecoin trading after reaching an alliance with Curve Finance, one of the most important decentralized exchanges in the sector. This collaboration aims to TON ecosystem facilitates stablecoin exchanges and are more efficient for their users.
The project will use Curve’s constant function market maker (CFMM) technology, a statement said. release from the TON Foundation.
A CFMM operates by creating a liquidity pool where users deposit tokens to trade. This pool acts as an automated market, where token prices are defined by a pre-established mathematical formula. When a user trades one token for another, they interact directly with the liquidity pool, without intermediaries.
The statement also highlights that this technology, key to the growth of decentralized finance (DeFi), will be essential to improve stablecoin trading on TON.
“By integrating this advanced mechanism, we will simplify stablecoin exchanges, improve user experience and minimize price impact during transactions,” the TON Foundation said.
TON network wants to make room for bitcoin
Curve integration into TON It will not only create new possibilities for stablecoins, but also for other digital assets.such as bitcoin (BTC), which will soon be available on the network.
“We need a native CFMM to facilitate interaction – this is indispensable for our growth. Partnering with one of the industry’s leading market makers to incubate this new project was a natural choice,” said Vlad Degen, DeFi Lead at TON Foundation.
The announcement provoked an immediate 3.5% increase in the price of toncoin (TON), the network’s native cryptocurrency, reaching $5.59 before stabilizing at $5.51, as seen in the chart below. TradingView.
This has allowed that Toncoin remains among the top 10 cryptocurrencies with the highest market capitalization with 13 billion dollars.
USDT’s success on TON drives expansion
The overwhelming acceptance of the USDT stablecoin by TON users has been the main reason behind the expansion of stablecoin trading on the network.
In the four months since its launch, demand for USDT has exceeded all expectations. Currently, Authorized USDT issuance on TON exceeds $1 billionwith an active circulation of 720 million dollars, as reported by CriptoNoticias.
Daily active addresses and daily transactions on the TON network reached their highest peak last week, at 1.2 million and 3.9 million, respectively, according to data of the Artemis on-chain platform.
The addition of large volumes of USDT, the stablecoin with the largest market capitalization, brings more liquidity to the TON ecosystem, promoting financial development on the network.
It is evident that the demand for stablecoins on TON is growing. With new assets being launched on TON daily, the collaboration with Curve Finance will cater to this demand, offering a better stablecoin trading experience.
Vlad Degen, DeFi Lead at TON Foundation.
With this new stablecoin exchange project, TON strengthens its Web3 ecosystem, improving trading conditions and attracting more users to the network.