Cryptocurrency exchanges and DeFi platforms are vital to the crypto economy because they enable users to conduct trades. Also, DeFi protocols give users access to innovative financial services such as staking and participating in liquidity pools. The WOO Network crypto ecosystem is a multifunctional project offering centralized and decentralized services. The WOO token price recently experienced a sudden surge in value, along with the total market capitalization of the project. Additionally, the team behind the Woo Network crypto ecosystem introduced a new WOO Network roadmap in late December 2022. According to the Woo Network developer team, they are determined to boost WOO functionalities in 2023. The developer team started 2023 by burning 24% of all WOO tokens, which pushed the WOO token price upward. So what is Woo Network?
That's what we will find out in this article, along with the project's key features and operational mechanism. We'll take a closer look at the different segments of Woo Network, its services, and the Woo token's core characteristics. Furthermore, we'll check out the Woo Network crypto ecosystem's plans for 2023, along with the new project roadmap.
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The WOO Network Crypto Ecosystem
The Woo Network crypto ecosystem comprises several services. The idea behind Woo Network is to provide crypto users with both a centralized and decentralized scope of crypto services.
The project started in 2019 as the product of a Kronos Research incubator program. The founders of WOO Network are also core members of Kronos Research, a company that focuses on various market-making strategies. Subsequently, WOO Network became a project aiming to offer users deep liquidity across a wide range of services. The centralized portion of WOO Network is a high-liquidity centralized crypto exchange called WOO X. The other side of the project is the decentralized WOO Network that connects traders, DeFi platforms, and other users. The core products of the network are WOOFi and WOOFi DEX, which offer various additional services besides trading.
Initially, the whole WOO Network crypto ecosystem used the Ethereum (ETH) blockchain, and the WOO token was an Ethereum-based ERC-20 token. However, WOO Network has introduced various updates since its launch, and now it's available on a broad range of leading blockchains. One of the goals of Woo Network is to become a cross-chain platform and the go-to destination for all types of traders seeking deep liquidity.
What is WOO Network?
Now let's answer the question, "what is WOO Network?" Essentially, WOO Network addresses the liquidity issues in the crypto market. Most of the market liquidity is in the hands of the largest crypto exchanges, which produces a monopolistic environment for crypto trading. WOO Network is against the concentration of liquidity in the hands of a few leading exchange platforms. In fact, WOO Network aims to provide centralized platforms, DeFi apps, and individual traders with deep liquidity. Furthermore, WOO Network wants to disrupt the liquidity monopoly. Third-party exchanges and DeFi apps can connect their platforms to WOO Network with a WOO API integration.
WOO Network also works as a liquidity as a service provider. When partner platforms connect their operations to WOO Network, they get all the benefits of WOO liquidity. WOO Network's liquidity service enables third-party apps and exchanges to avoid high slippage. Slippage is the difference between the initial trading order price and the final order fulfillment price. This difference results from the liquidity crunch on crypto exchanges and DeFi apps. The platforms need to fetch your crypto once you place an order. Furthermore, if there's low liquidity for your order, they need to charge more to get your crypto. Finally, you'll pay more fees, and your crypto will be more expensive. Only the largest crypto exchanges have enough liquidity to provide users with low slippage.
WOO Network helps provide exchanges and dapps with deeper liquidity levels. In turn, WOO users get access to lower slippage trades thanks to the network's liquidity. Some of the WOO Network partners include exchanges like Gate.io and Ascendex. These platforms are among the numerous partners that rely on the WOO Network crypto ecosystem to source liquidity.
WOO X is the centralized network component, and it's an essential topic for answering the question, "what is WOO Network?" WOO X is a centralized crypto exchange platform that works on a considerably different basis than most centralized platforms. Usually, exchanges list cryptocurrencies based on their market popularity and user demand. Instead, WOO X lists cryptocurrencies based on their projected trading volume and liquidity levels. The platform focuses on listing fewer cryptocurrencies, but only listing those with extremely deep liquidity levels. As a result, users can trade cryptocurrencies with very low slippage.
Users can trade more than 80 trending cryptocurrencies on WOO X. Also, most currencies are available for perpetual trading and spot trading. The number of available cryptocurrencies might be more limited compared to leading platforms like Binance and KuCoin. These platforms support hundreds of cryptocurrencies. However, WOO X has deep liquidity for all of the coins and tokens on the platform. Additionally, the WOO token can erase all trading fees on WOO X. Both market makers and market takers who stake at least 1,800 WOO tokens on the platform incur zero trading fees. Additionally, users who stake 1,800 WOO tokens get free daily crypto withdrawals across all blockchain networks.
Kronos Research is the primary source of liquidity for WOO X and the whole WOO Network crypto ecosystem. The company has an average daily trading volume between five and 10 billion USD across multiple platforms. In conclusion, this amount of deep liquidity lets WOO X easily facilitate trading deals of almost any magnitude with minimal slippage.
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WOOFi is a DeFi platform based on WOO Network, and it acts as a bridge between centralized and decentralized crypto services. Also, the platform pulls liquidity from WOO Network to provide decentralized crypto features. To use WOOFi, you need to have a crypto wallet and connect it to the platform like any other dapp. Once connected, you can choose between various leading Ethereum Virtual Machine-compatible networks. The supported networks include Polygon (MATIC), Optimism (OP), Avalanche (AVAX), Arbitrum, BNB Chain, and Fantom (FTM).
The three key features of WOOFi are token swapping, yield farming, and staking. To engage in swapping, select the Swap feature in the Trade section. The swap interface lets you exchange various assets on a selected blockchain or between different blockchains. Essentially, you can use the feature as a blockchain bridge. For example, you can exchange Wrapped Bitcoin (WBTC) on Polygon for Wrapped Ethereum (WETH) on the Avalanche network. WOOFi makes cross-chain swaps easy without using several intermediary apps.
The Earn section of WOOFi is where you can engage in yield farming. Users can yield farm in 24 supercharger pools. These pools use 90% of the assets for the synthetic proactive market-making algorithm (sPMM) that provides liquidity for trading. Furthermore, the rest of the funds go to third-party DeFi platforms that provide base yield farming rewards. The yield farming rewards are between 6.61% for USD Coin (USDC) on Avalanche up to 18.65% for MATIC on Polygon.
Finally, the Stake section lets users earn an annual percentage yield for WOO token staking. You can stake WOO tokens across various blockchains because the WOO token is cross-chain compatible.
WOOFi DEX is another critical component of the decentralized portion of WOO Network. Currently, WOOFi DEX is in its beta development stage, and users have access to limited features. However, according to the developers, WOOFi DEX will become fully operational in the following period. The main difference between WOOFi DEX and other decentralized exchanges is its advanced trading interface. The interface is similar to centralized exchanges, with a detailed price chart and technical analysis tools. Also, traders have an order book and two order types at their disposal. Choosing a market order will fulfill the order immediately at current prices. Limit orders require the coin price to reach a specific value before triggering the trade.
For now, WOOFi DEX only supports five cryptocurrencies, including ETH, Near Protocol (NEAR), WBTC, WOO, and Aurora (AURORA). The quote currency for all trading pairs is USDC.
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Exploring the WOO Token
The WOO token is the key crypto asset of the WOO network crypto ecosystem. The original total amount of WOO tokens is three billion tokens. However, the WOO developer team burned nearly 25% of the tokens at the beginning of 2023. This move effectively lowered the total WOO token supply to 2.25 billion tokens. Most of the token supply (73%) is in circulation, with 44% in active circulation and 29% reserved for WOO token rewards. The remaining 27% of tokens go to series A investors and the current WOO team. Additionally, a portion of the tokens will go to future developers and advisors.
One of the essential WOO token utilities is the ability to provide users with zero trading fees on WOO X if they stake at least 1,800 tokens. Additionally, users can stake any amount of WOO tokens on WOOFi to earn a steady annual percentage yield. Since the WOO token is cross-chain compatible, users can easily exchange WOO tokens on different blockchains. According to the developers, the WOO token will receive new utility features in 2023.
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The WOO Token Price
Recently, there was a significant increase in the WOO token price. The WOO token price went from 0.15 to 0.18 USD per token within a day on January 10, 2023. The sudden jump in the WOO token price was mainly the result of a massive WOO token burn. The developer team burned nearly 25% of the total token supply. This move made WOO more scarce and propelled the WOO token price upward. However, the price has since gone through a minor correction, but the move boosted the WOO market cap above 200 million USD.
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The Woo Network Crypto Ecosystem's Plans For 2023
So what is WOO Network planning for 2023? The WOO Network team recently announced a new roadmap for the first quarter of 2023. The team aims to introduce new trading features on WOO X and WOOFi DEX. One of the main promises is to introduce new spot trading pairs and perpetual futures on WOO DEX. Also, the team will develop a V2 iteration of WOOFi that supports more blockchains and better trade execution. Additionally, WOO Network will introduce USDC and BTC spot trading pairs besides the current USDT pairs. Finally, the staking and liquidity-providing features will undergo improvements to provide active users with more rewards.
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Exploring the WOO Network Crypto project and WOO Token Price - Summary
What is WOO network in short? The project is a one-stop shop for CeFi and DeFi users looking for deep liquidity. The project aims to provide individuals, developers, and crypto platforms with a solution to their liquidity needs. Individuals have the WOO CEX and DEX at their disposal, as well as the WOOFi DeFi service. Furthermore, companies can integrate WOO liquidity through the WOO API and hire the platform to provide liquidity as a service. The recent WOO token burn boosted the WOO token price. However, the implementation of the 2023 roadmap is what carries the long-term potential for the project.
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