ParaSwap experienced a massive surge in action that has propelled the finance app to the 17th spot on DappRadar’s dApp rankings.
Decentralized exchange aggregator ParaSwap has seen a massive influx of action in the last 24 hours, on Polygon. After generating $37.4 million in volume, the app has risen to the 17th spot on DappRadar’s overall dApp rankings. Over the last day, wallets that have interacted with dApp’s smart contracts have risen by 8% to 762 total.
ParaSwap’s new token exchange launched on Ethereum (ETH) back in December, broke into Polygon in April, and BSC in May.
ParaSwap is a DEX aggregator that searches for the lowest rates for token swaps across a range of ETH-based DeFi products. Zero fees are applied for use of the protocol. ParaSwap, instead, earns 50% of the net positive slippage to grow protocol development.
Over the last week, ParaSwap on Polygon has seen average transactions hovering around $12,000. The Ethereum version average is around $282,000, for comparison. Ethereum has less activity and fewer active users, but average values that are 2,250% higher, according to the reported figures.
High gas fees are the likely reason for this. With users paying $50 per trade, it requires them to move a lot of capital in one shot to justify the gas price.
Polygon itself is enjoying a bit of resurgence in value and activity since being rebranded from Matic in February.
ParaSwap raises $3 million in seed extension round
ParaSwap has been in the news a lot lately, with the DEX aggregator announcing as well this week their successful seed extension round. The round was spearheaded by Blockchain Capital, DeFi Alliance, and White Star Capital. Other investors include Andre Cronje, Curve Finance, Dune Analytics, Fredrik Haga, and Michael Egorov.
ParaSwap will look to support other blockchains like Ethereum Layer-2 networks. These networks include Avalanche, Arbitrum, Benchemld, Fantom, and ZkSync. The seed extension round takes ParaSwap’s total funding to nearly $6 million after similar results were seen in September 2020.
BeInCrypto has reached out to company or individual involved in the story to get an official statement about the recent developments, but it has yet to hear back.