In a move that promises to reshape the fragmented landscape of Layer2 solutions, DODO, the pioneering decentralized exchange (DEX), launches DODOchain, an Omni-Trading Layer3 powered by Arbitrum Orbit, EigenLayer, and AltLayer.
DODOchain aims to make it easier to trade cryptocurrencies across different blockchains. Imagine if you could trade Bitcoin and Ethereum on the same platform, easily swapping between them without any hassle. That’s the idea behind DODOchain.
The newly launched, DODOchain seamlessly bridges the Layer2 solutions of Bitcoin and Ethereum, acting as a unifier for liquidity across diverse chains. This innovation promises a future where users can trade tokens and amplify their earnings through restaking, all within the DODOchain ecosystem – a veritable rollup-level liquidity layer.
With the release of its innovative Proactive Market Maker (PMM) algorithm in August 2020, DODO offered a concentrated liquidity solution centred around the oracle price. As a result, users were given better exchange rates and mainstream assets’ capital efficiency was greatly increased. With three distinct liquidity pools to accommodate mainstream assets, stablecoins, and altcoins as well as various user groups like traders and professional market makers, DODO V2 was introduced in February 2021.
Later on, DODO developed further features as Launchpad, Token Creator, Trading Widgets, Crosschain Swap Aggregator, Limit Orders, and Swap Aggregator DODOX. Currently, 14 blockchains’ mainnets are using DODO. With over 24 million transactions, over 3.31 million users overall, and a total trading volume over $141 billion, the exchange has achieved remarkable success.
Over the past three years, DODO’s team has been dedicated to developing products aimed at providing optimal liquidity solutions and the best trading prices for users. They believes that the future of blockchain technology will not be confined to a single chain but will evolve into an interconnected ecosystem of multiple chains, with hundreds of Layer2 solutions serving various market needs and applications.
However, there are still a number of obstacles that Layer2 solutions must overcome at this point, such as fragmented liquidity, high multichain operation costs, security issues connected with cross-chain bridges, and the difficulty of communicating with various blockchains. In addition, there is a greater need for cross-chain transactions as a result of the rising quantity of non-EVM assets.
DODO’s team argues that the current multi-chain DApp ecosystem requires a fundamental transformation. With various assets being issued on hundreds of chains, it’s crucial to break down the barriers between EVM and non-EVM ecosystems to enable the free flow of assets. Our team proposes an innovative solution—DODOchain to achieve interconnectedness across all chains. By integrating and optimizing liquidity on the DODOchain, seamless asset exchange and significantly improved asset issuance efficiency and trading convenience across different chains can be realized.
DODOchain as the Solution
The future of blockchain necessitates addressing highly customized use cases, which is at the heart of the concept behind hosting a third layer on-chain.
Layer3 focuses on providing customized functions and aims to overcome the limitations of Layer2 in terms of cross-chain interoperability. As a bridge between different blockchain ecosystems, Layer3 facilitates the free flow of data and transactions, enabling connectivity among various chains like Ethereum, BTC, and Solana.
For building an omni-liquidity layer that requires greater transaction throughput and demands significant reductions in network fees, Layer3 can enhance transaction efficiency and achieve true cost reductions.
Among the many technical solutions, Arbitrum Orbit allows any developer to easily and permissionlessly launch their own L2 or L3 Orbit chain on Arbitrum, with the freedom to customize gas tokens, privacy, permissions, governance, and more.
This aligns perfectly with their vision and needs for building our own app-chain. The DODO team will leverage Arbitrum Orbit to construct a comprehensive Layer3 chain for cross-chain transactions, offering users faster transaction execution and confirmation, minimal gas costs, and higher stable returns, thereby enhancing the trading experience.
DODOchain will also offer:
- Omni-chain liquidity outposts: DODOchain provides users with a full suite of products and services, including Omni Trade, Omni Liquidity, and Omni Mining.
- BTC L2 and ETH L2 Connector: DODOchain can link BTC L2 and ETH L2, including Non-EVM Chains, thus attracting more new users and assets.
- Native restaking yield: DODOchain will offer native staking yields for assets.
Also Read: VanEck Forecasts Ethereum Layer 2 at $1T Market Cap by 2030
Modular Partnerships for DODOchain
DODO unveiled its key partners to achieve a seamless, efficient, and secure ecosystem for cross-chain trading and liquidity sharing. These partnerships leverage the strengths of different blockchain technologies to create a user-friendly experience for issuing, trading, and managing digital assets across various networks.
Key Partners and their Roles:
- Arbitrum Orbit: Arbitrum Orbit offers a powerful new approach to building Layer2 and 3 chains. As a configurable extension to the Arbitrum tech stack, it empowers DODOchain with enhanced scalability, efficiency, and ease of use, while maintaining the security guarantees of the Ethereum ecosystem.
- Eigenlayer: With EigenDA, a core component of Eigenlayer, specializing in data availability (DA) throughput, and its seamless integration with other modules of EigenLayer, DODOchain will leverage EigenDA to utilize Ethereum’s consensus and security features. DODOchain will also work as a restaked rollup being one of the first Actively Validated Services (AVSs) in the Eigenlayer ecosystem.
- AltLayer: DODOchain has adopted AltLayer’s novel restaked rollups infrastructure based on EigenLayer’s powerful restaking mechanism.This not only strengthens network security and decentralization but also facilitates rapid deployment and cross-chain interoperability, creating a smoother and more interconnected blockchain experience for users.
DODOchain stands as a testament to the relentless innovation that characterizes the blockchain and signifies a watershed moment in our collective quest for seamless, secure, and efficient cross-chain trading.
The DODOchain Testnet is Live
This is your chance to be the first to test, build, and innovate on a next-generation omni-trading experience.
Explore Testnet: dodochain.com
