Prices of cardano (ADA) jumped 13% in 24 hours before Thursday's planned launch of SundaeSwap, the first decentralized finance (DeFi) exchange on the Cardano blockchain.

“SundaeSwap will launch as a fully-functional beta decentralized exchange (DEX),” the project's developers confirmed in a blog post on Sunday. Projects will be allowed to create trading pools for their tokens after Tuesday, the team added.

Cardano surged to $1.55 in European morning hours on Monday, up from Sunday’s lows of $1.28. Charts show $1.5 is a historic resistance level, suggesting some profit-taking could occur and potentially push prices downward.

Carnado

Cardano prices traded at $1.5 in European hours on Monday. (TradingView)

SundaeSwap (SUNDAE), like other decentralized exchanges (DEXs), uses smart contracts to match token trades between users and distributes a portion of trading fees back to the investors who provide liquidity to the platform, a process broadly known as ‘yield farming.’

Exchange users can earn SUNDAE rewards in the first six months following SundaeSwap’s launch. However, the launch remains a beta rollout with limited features and expected trade matching times of “hours to days” initially.

“While the DEX’s smart contracts have been fully audited and the DEX will meet all industry standards for security, the implementation of fully decentralized governance will not be immediately possible due to existing transaction size limits on the Cardano blockchain,” the team explained in the post.

Top DEXs built on other blockchains are some of the most valuable products in the crypto market. Tokens of Ethereum-based Uniswap (UNI) have a market capitalization of about $7.7 billion, while those Binance Smart Chain-based Pancakeswap (CAKE) have a market capitalization of $3.2 billion, according to data on analytics tool CoinGecko.


All writers’ opinions are their own and do not constitute financial advice in any way whatsoever. Nothing published by CoinDesk constitutes an investment recommendation, nor should any data or Content published by CoinDesk be relied upon for any investment activities. CoinDesk strongly recommends that you perform your own independent research and/or speak with a qualified investment professional before making any financial decisions.

Recommended content


Recommended Content

Editors’ Picks

Polygon joins forces with WSPN to expand stablecoin adoption

Polygon joins forces with WSPN to expand stablecoin adoption

WSPN, a stablecoin infrastructure company based in Singapore, has teamed up with Polygon Labs to make its stablecoin, WUSD, more useful in payment and decentralized finance.

More Cryptocurrencies News
Coinbase envisages listing of more meme coins amid regulatory optimism

Coinbase envisages listing of more meme coins amid regulatory optimism

Donald Trump's expected return to the White House creates excitement in the cryptocurrency sector, especially at Coinbase, the largest US-based crypto exchange. The platform is optimistic that the new administration will focus on regulatory clarity, which could lead to more token listings, including popular meme coins.

More Crypto News
Cardano's ADA leaps to 2.5-year high of 90 cents as whale holdings exceed $12B

Cardano's ADA leaps to 2.5-year high of 90 cents as whale holdings exceed $12B

As Bitcoin (BTC) gets closer to the $100,000 mark for the first time — it crossed $99,000 earlier Friday — capital is rotating into alternative cryptocurrencies, creating a buzz in the broader crypto market.

More Bitcoin News
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange

Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange

Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.

More Shiba Inu News
Bitcoin: Rally expected to continue as BTC nears $100K

Bitcoin: Rally expected to continue as BTC nears $100K

Bitcoin (BTC) reached a new all-time high of $99,419, just inches away from the $100K milestone and has rallied over 9% so far this week. This bullish momentum was supported by the rising Bitcoin spot Exchange Traded Funds (ETF), which accounted for over $2.8 billion inflow until Thursday. BlackRock and Grayscale’s recent launch of the Bitcoin ETF options also fueled the rally this week. 

Read full analysis
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

BTC

ETH

XRP