A decentralized exchange (DEX) for the TON blockchain aims to enhance user convenience and streamline cross-chain transactions by eliminating the need for complex tools.

Decentralized finance (DeFi) provides users with greater control over their assets by removing intermediaries. However, the lack of interoperability between blockchain networks limits access to innovative trading opportunities within DeFi.

Traditionally, users must rely on third-party services to transfer assets between blockchains. This reliance can expose users to security risks and potential asset loss, as well as incur costs and delays during transactions. A multichain structure could offer unique value to the Web3 space by facilitating token transactions across networks without additional services.

Cross-Chain Swaps Without Bridges and Wrapped Tokens

STON.fi, a DEX on The Open Network (TON) blockchain, is introducing tools to address the challenges of cross-chain swaps. The TON blockchain, initially developed by the founders of Telegram, provides a decentralized platform for these transactions.

With over $200 million in total value locked (TVL) and $600 million in trading volume, STON.fi integrates seamlessly with TON wallets like Tonkeeper and TON Space, enabling the trading of any TON-based token.

The DEX employs a liquidity pool model to minimize price impact and slippage. These pools, comprised of assets locked by multiple users into smart contracts, allow for instant transactions without relying on traditional buyer-seller markets.

STON.fi also offers advanced features like farming and staking. Farming rewards users for providing liquidity, while staking allows users to earn by locking their assets to support network operations.

The platform facilitates cross-chain swaps without the need for wrapped tokens or bridges. Wrapped tokens are representations of base tokens on another blockchain, and bridges facilitate transfers between blockchains. Instead, STON.fi utilizes a request for quote (RFQ) process combined with hashed timelock contracts (HTLC).

In RFQ-based protocols, traders send RFQs to professional market makers (PMMs), who respond with signed quotes detailing the swap rate and conditions. The best quote is selected and presented to the trader. HTLC protocols, or atomic swaps, ensure both parties receive the intended assets or the transaction fails, guaranteeing asset security.

Making DeFi Fair for Everyone

STON.fi has achieved significant milestones, including listing the TON-based Tether (USDT) and launching NOT, the token for the popular Web3 game Notcoin, with over 35 million players. The platform also secured investments from CoinFund, Delphi Ventures, Karatage, and TON Ventures, along with contributions from notable individuals such as LI.FI CEO Philipp Zentner and 1inch co-founders Sergej Kunz and Anton Bukov.

CEO Slavik Baranov emphasized that these strategic moves align with STON.fi’s vision to enable secure token swaps between networks for Telegram users without third-party involvement. He stated, “STON.fi exists to make it simple and fair for everyone to access DeFi as easily as they use Telegram.”

Ensuring interoperability in asset transfers will enhance the inclusivity and efficiency of the DeFi environment. As more platforms enable secure asset trading across different networks, the decentralized space is poised to gain greater value and accessibility.