What’s next for Cougar

Cougar Ecosystem
2 min readJul 6, 2022

Like other decentralized platforms, Cougarswap is currently powered by an automated market maker (AMM) system, which uses smart contracts — self-executing computer programs — to define the price of digital assets and provide liquidity.

Besides the advantages of being simple to implement and allowing liquidity to be efficiently aggregated, standard AMM comes with certain drawbacks and high fees, especially for StableCoins — cryptocurrencies, the value of which is pegged to other assets like the U.S dollar or precious metals to keep the price under control.

Notable stablecoins include:

  • Tether (USDT)
  • USD Coin (USDC)
  • Binance USD (BUSD)
  • Dai (DAI)

As the name implies, stablecoins aim to bring price “stability.” However, standard AMM price slippage is enormous and needs to provide significant funds to keep meaningful liquidity. Furthermore, if one for example loads DAI and USDC into a standard liquidity pool, the returns will be tiny. This high slippage and low profits end up cutting the user’s portfolio short.

What is StableSwap, and how does it work?

StableSwap — an automated liquidity provider for stablecoins that offers a Uniswap-like automated exchange but with very low price slippage. On the supply side, it offers a multi-stablecoin “savings account,” which, according to simulation, can bring a more compelling APR.

StableSwap adopts another mathematical formula suitable for pairing stablecoins or similar assets. Different from standard AMMs, stableswap allows liquidity for more than 2 tokens in the same pool and the ratio between tokens in the pool does not need to be equal. This flexibility of stableswap pools helps lower slippage, higher capital efficiency, and greater asset scalability.

Aside from the high APR, Cougars users can enjoy much more cost-effective trading of stablecoin pairs or different variations of the same coin. You can swap different bridged versions of the same asset without worrying about insufficient liquidity, further improving the trading experience. It will certainly reduce the impermanent loss when the asset price changes after being deposited in the liquidity pool.

What’s next for Cougar

As part of our continued commitment to grow and bring unlimited earning opportunities to the masses, engaging StableSwap in our protocol will be the next step in our roadmap to be the leading and complete platform in the Defi space.

Stand by for exciting updates in the coming days!

Social channels

Telegram: https://t.me/CougarSwap_Multichain_Official

Discord: https://discord.com/invite/5JNWQNZafU

Twitter: https://twitter.com/cougarswap



Cougar Ecosystem

A long-term DeFi project held the reputation as one of the most prestigious cross-chain platform in the crypto market.