According to DeFi Llama, WingRiders (WRT) is now the leading DeFi protocol on Cardano from Total Value Locked (TVL). The protocol currently holds 42% of the chain’s dominance, with $51.77 million locked.
The TVL of its closest competitor, Minswap, is $40.73 million, down 81% from its peak of $211.53 million hit on March 28.
WingRiders stands out from the competition
WingRiders is an Automated Market Maker (AMM) Decentralized Exchange (DEX) running on Cardano eUTxO layer 1
This brings several advantages over accounting model DEXs as seen on Ethereum, including dterministic fees and, given the use of large date values, a flexible environment that can reliably handle multiple operations.
According to the white paper, the team wanted to leverage Cardano’s transaction-based model to provide a trusted and cost-effective way to trade crypto tokens.
CryptoSlate reached out to WingRiders for comment on its recent success. Kaaran Kalantari, the company’s spokesman, said he attributed this to several factors, including the interest generated by the project’s upcoming IDO.
Although the reputation of stablecoins in general has taken a hit recently, Kalantari still sees them as crucial components of the crypto industry. And since WingRiders is the only “real [Cardano] Marketplace” for stablecoins, it offers Cardano users access to this key market.
“Stablecoins inspire trust and enable a higher level of transactions. Our users can buy Tether and USDC, and none of our competitors offer larger stablecoins. Additionally, our competitors do not offer yield farming potential for these stablecoins.”
Market turmoil and DeFi’s role in it
With the Terra implosion and the ongoing industry-wide liquidity crisis, DeFi has been blamed as a contributing factor.
But Kalantari takes a philosophical view, saying that as an innovative and novel technology, DeFi opens users to “a certain level of inherent risk.” Nonetheless, the spin side of taking this risk is the potential to make money.
“DeFi drives cutting-edge technology that is game-changing for the future of financial systems, and whenever you engage with this level of innovation, there is a certain level of inherent risk. There is of course also the potential to make money.”
A look at the project’s roadmap shows that the team plans to complete its IDO and incorporate changes as a result of the Vasil upgrade before the end of Q2.
Posted in: Cardano, DeFi, DEX
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