WEN SUNDAE? Thursday!
The moment we’ve all been waiting for is upon us! Below we’ve laid out the most important points you need to keep in mind, as well as all the details you need to know about the SundaeSwap DEX launch in an easy-to-read FAQ format.
Key Dates and Takeaways
- Thursday, January 20: SundaeSwap will launch as a fully-functional beta decentralized exchange (DEX).
- Tuesday, January 25:The first round of ISO rewards will be calculated. ISO participants must delegate ADA to qualifying ISO Scoopers prior to 21:45 UTC on January 25th to be able to earn SUNDAE for all five ISO rounds. See below for more details.
- Thursday, January 20 (Delayed by a few days due to CONGESTION): Yield farming SUNDAE rewards begin. Yield farming will be available for at least the first six months of the SundaeSwap DEX, and during this period, LP tokens staked to yield farming contracts in eligible pools can earn additional SUNDAE rewards. See below for more details.
The Details / FAQ
The SundaeSwap DEX will go live as a fully-functional beta on Thursday, January 20, 2022. Projects will be allowed to create pools beginning Tuesday, January 18th.
HOW (TO) SUNDAE?
Initially, there will be three ways to acquire SUNDAE:
- Participate in the ISO (available during Cardano epochs 316 through 320).
- Earn yield farming rewards (available January through June).
- Swap other tokens for SUNDAE on SundaeSwap and other participating DEXs (this is a change of plans, see the section on the Taste Test on why).
The ISO will begin as well on Thursday, January 20, and will continue for five epochs, with rewards (5% of the total SUNDAE supply, 1% per epoch) being distributed based on the snapshots that will be taken at each epoch boundary.
To participate in each ISO reward round, you must delegate prior to the follow dates:
- Round 1: January 25th (21:45 UTC)
- Round 2: January 30th (21:45 UTC)
- Round 3: February 4th (21:45 UTC)
- Round 4: February 9th (21:45 UTC)
- Round 5: February 14th (21:45 UTC)
As long as you are delegated to an official ISO Scooper (find the list here) before the snapshot is taken, your rewards will be calculated for the epoch you staked in.
HOW (TO) ISO?
If you want to make sure you qualify for all five ISO reward rounds, you must have ADA staked with eligible SPOs before 21:45 UTC on January 25th. Your reward will be calculated based on the snapshot taken at that time, and at the same time at each subsequent epoch boundary. Details on where and how you will receive your SUNDAE and how you can check your outstanding rewards will be shared soon.
HOW (TO) YIELD FARM?
Yield farming is a form of staking used by DEXs to reduce the volatility of their liquidity pools. You can learn more about yield farming on the SundaeSwap help section here. 500,000 SUNDAE will be allocated daily over at least the first six months of the DEX’s operation to yield farmers participating in the following liquidity pools:
This list of eligible pools will be adjusted by community vote later as the ecosystem grows and stablecoins launch.
WEN TASTE TEST?
While we still stand behind the benefits offered by the Taste Test price-setting procedure we previously announced, the contracts we wrote for the Taste Test were not part of our audit. As we looked at the timelines for our launch, we made the difficult choice not to launch the SUNDAE token with the Taste Test. This change allows a SUNDAE / ADA pair to exist at launch and be available for users to swap immediately instead of waiting until after the ISO and the Taste Test. We will continue to develop the Taste Test, and plan to offer this as a service to other projects that choose to launch on the SundaeSwap platform in the future.
We are launching with a Beta label because, 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. We will post more on our roadmap to a fully community-controlled DEX shortly.
HOW FAST DEX?
As mentioned a week ago, even the most optimistic performance projections show a backlog of orders during the first few weeks of the DEX’s operation. However, we expect performance to improve as adjustments are made by both the SundaeSwap and Cardano teams. While orders (including swapping, providing liquidity and withdrawing liquidity) may take hours to days to process at first, it’s important to know that everybody’s orders will be processed fairly and in the order they were received and executable. It will also be possible to cancel orders at any time before they are processed by the Scoopers. Canceling orders is not subject to the same queue.
We hope you’re all excited as much as we are for this monumental day for SundaeSwap and the Cardano community as a whole!
- The SundaeSwap Labs Team