Axie Infinity’s Katana DEX is up 4,615,280% in 14 days, what’s next?

Axie Infinity is growing exponentially in the GameFi space. The network continues to expand and their recent efforts speak for themselves. In fact, the AXS price has hit a new all-time high in the past two weeks. Most famous, however, is the performance of the decentralized exchange (DEX) katana.

AXS 4-Hour Price Chart | Source: Tradingview

What is katana?

Axie Infinity launched the Ethereum-linked Ronin sidechain last year and it has done well this year. However, most of the major on-chain activity took place during that month, with Ethereum and AXS seeing massive inflows. During the same period, SLP mainly recorded outflows.

On November 6th alone, the chain received 73,683 ETH worth over $ 306 million. At the same time, there have been over 3.1 billion inflows from AXS valued at $ 409 billion.

Inflows in ETH and AXS on Ronin | The source: dune

The reason for the volume increase in November is the effect of Katana, DEX on Ronin. This decentralized exchange was born with the aim of simplifying the token swap process in the Axie Infinity ecosystem.

Currently DEX only supports exchanges between AXS, SLP, USDC and WETH.

In addition, users can also deposit into liquidity pools and be rewarded with fees and RON tokens.

RON tokens are intended to complement the liquidity pool as they are paid out as rewards. The token is also used to aid the ronin chain as a method of paying gas fees and securing the network.

Since its introduction on November 4th, this DEX has gradually moved into the focus of the market. Probably because it increased 4,615,280% of Total Locked Value (TVL) from $ 26,000 on day one to $ 1.2 billion on day 14 in less than 2 weeks.

TVL by DEX Katana | The source: DeFi Lama

Of course, reception is important when it comes to new upgrades in the network. However, the growth of the AXS token in the spot market is not as great as expected, but is still average.

Number of addresses Axie Infinity | The source: Intotheblock

This proves that updating the network does not necessarily facilitate the growth of the user base. However, given the development of Katana, it looks like it will soon become a formidable competitor in the DEX space.

Join Bitcoin Magazine Telegram to keep track of news and comment on this article: https://t.me/coincunews

Follow the Youtube Channel | Subscribe to telegram channel | Follow Facebook page