Stablecoins play an extremely important role in the crypto market, so Wombat Exchange was born with the purpose of allowing users to swap stablecoins at low slippage and increase capital efficiency.

Overview

Wombat Exchange is an AMM for trading stablecoin assets on the BNB Chain ecosystem. In addition, the project allows users to provide single-sided staking liquidity with extremely low slippage rates.

Wombat Exchange introduces a StableSwap 2.0 model with some features such as low slippage rate and liquidity providers can reap abundant and sustainable profits thanks to the single – sided staking strategy.

Some features of Wombat Exchange

• Scalable Equilibrium: a new coverage-ratio-based mechanism that eliminates 100% impermanent loss for liquidity providers.
• Slippage Minimization: Wombat Exchange applies an asset-to-liability model to minimize slippage when users participate in transactions on the platform.
• Extremely user-friendly UI/UX.
• LP Token can continue to be built and developed on other DeFi platforms on the BNB Chain ecosystem such as Lending & Borrowing, Yield Farming, Staking, etc.

Development team

Wombat Exchange’s development team are excellent and talented people in their field including:

Founder: Alex Lee

Alex worked as a Blockchain Engineer with extensive experience with Crypto projects and portfolio management.

CTO (Chief Technology Officer): Daniel Chan

Daniel is a Blockchain Engineer who joined the Crypto market very early. Daniel has a background in DeFi, traditional banking and social enterprises.

CMO (Chief Marketing Officer): Ray Wong

Ray is a marketing expert with projects in the Crypto market. Experienced in building projects from the start-up period until the project goes into stable operation.

Advisor: Mr. DuckBill

DuckBill is the founder of the Platypus project on the Avalanche ecosystem which is also a StableSwap. DuckBill is someone who has joined the Crypto market very early and has experience in building a tokenomic model for Crypto projects.

Advisor: 0xJun

0xJun holds a PhD in Computer Science from Cornell University and  0xJun also has experience in proofs and cryptography.

Investors

• November 1, 2021: Binance Labs makes a strategic investment in the Wombat Exchange project.
• March 16, 2022: In Series A round, Wombat Exchange successfully raised $5.3M at a valuation of $64.8M led by Animoca Brands and Hailstone Ventures with participation from Shima Capital, GSR , Lunar Station, TPS Capital, Zokyo,…
• April 19, 2022: Wombat Exchange successfully raised an undisclosed amount and valuation led by Shima Capital in addition to Wormhole Capital and Jump Capital.

Tokenomics

Ticker: $WOM

Blockchain: BNB Chain

Contract: 0xad6742a35fb341a9cc6ad674738dd8da98b94fb1

Max Supply: 1,000,000,000

Cir Market Cap: 12,278,152 WOM

Token Allocation:

Vesting schedule:

Tokenomics analysis:

It is worth noting that Binance currently holds up to 20% of the total supply of $WOM → demonstrating the level of support Binance has for the Wom project itself.

Application of $WOM

WOM is the governance token of Wombat Exchange and can be used in the following cases:

• Governance: Owning WOM tokens allows investors to participate in voting for governance decisions.
• Liquidity Incentive: By providing liquidity with stablecoins, investors can receive rewards in WOM tokens.
• Boosting: Investors can earn WOM tokens from Boosting Pool by locking WOM tokens and getting veWOM.

On-chain Analysis

Trading volume has increased sharply recently thanks to WOM and the Wombat Exchange project is gradually gaining attention in the crypto community. However, the trading volume has not reached the peak yet and is equal to the periods from August to October

⇒ High probability $WOM is just starting to grow

The amount of WOM → veWOM staking has increased sharply in the past 7 days thanks to the launched gauge voting mechanism. Users will stake WOM to get veWOM and use veWOM to vote for their reward pools

⇒ positive bullish sign as there is demand to buy in WOM

Roadmap

In Q4/2022, Wombat Exchange is expected to implement the veWOM and Factory Pool model. In addition, the project will deploy connections and partners with many partners to expand its ecosystem.

Next to Q1/2023, Wombat Exchange will start developing in the direction of multichain and cross-chain.

Technical analysis

In Frame D, there was a strong pumping candle, breaking through the strong resistance area. The price is currently trending towards retesting the previous support (resistance).

Test price of Fibo 50 (0.188) will be a nice entry to continue the next up wave

Summary

Wombat Exchange is an extremely important piece on the BNB Chain ecosystem similar to Curve Finance with Ethereum. However, this battle will be stronger if major stablecoins like Tether, Circle officially deploy on this ecosystem.