RONIN KATANA CHAIN PROFESSIONAL

They are compensated with fees and rewards in return.Ĭurrently, you get fees and RON as rewards for providing liquidity in Katana. A community will “add liquidity” to a pool to ensure everyone gets better prices when swapping. It is the community’s responsibility to make sure trades are matched in a decentralized exchange.

RONIN KATANA CHAIN PROFESSIONAL

Market makers, who are usually professional traders or entities, facilitate this process most of the time. If the current ETH price is $4,500, and I want to sell my 1 ETH at $4,502, a liquid exchange ensures that someone will always be willing to match my price. The term “liquid” refers to the ease with which users can exchange one token for another. The following article will explain that in detail, but before that, let’s define what Liquidity Pools are.

For this reason, RON is required to guarantee the Ronin blockchain remains community-owned.Īs of now, users who provide liquidity to Katana are rewarded with RON tokens. The RONIN sidechain will be used to facilitate all transactions in Axie Infinity as well as in all the other games. The Ronin Chain’s ecosystem token is RON. You have the opportunity to earn RON whenever you provide liquidity to ensure Katana Dex continues to operate. With the release of Katana Dex, Axie Infinity’s decentralized exchange, also comes the announcement and release of Ron Token, the ecosystem token of Ronin, Axie Infinity’s sidechain.Īs Axie Infinity said in a statement, it launched RON at the same time as Katana so that the token can be distributed to the community members who will add liquidity to Katana.

Ronin katana chain