TangleSwap Exchange, the reigning champion of decentralized exchanges running on IOTA, and TangleSeaDeFi are facing stiff competition from another IOTA-based (MIOTA/USD) DEX called Feeless Finance, Invezz learned.
About Feeless Finance
Feeless is a decentralized protocol that may be cheaper than any other DEX. Feeless Finance was developed on a no-fee underlying network and features expandable infrastructure, making it highly scalable compared to many other DEXs.
It is a DEX app with a governance token and an intuitive user interface. The way liquidity providers are set up is similar to Ethereum (ETH/USD). Feeless Finance uses IOTA smart contracts, IOTA’s Digital Assets framework, and the Assembly Network.
Their underlying infrastructure makes transactions more affordable while growing their volume and number on a mass scale.
IOTA Smart Contracts
IOTA has zero fees, guarantees data security, and is open source. Its smart contracts are its solution for running smart contracts on top of the IOTA tangle. They help bring scalable and flexible smart contracts into the IOTA ecosystem because anyone can anchor a smart contract blockchain to the IOTA tangle.
This solve a number of problems with smart contracts. It enables chain customization, improves scaling, lowers fees, and facilitates flexibility.
The fact that anyone can start a new chain opens quite a few avenues for exploration. Users have full control over the validators and access to their blockchain and over how the fees are handled. It’s even possible to set up a private blockchain with almost no public data.
Fees and scaling
A single blockchain will end up delaying transactions to produce other blocks because the processing power available for them on that chain is insufficient. This leads to excessive fees and limited functionality. When this becomes an issue, additional chains can be anchored to the IOTA tangle, lowering fees and improving scalability.
In the near future, all kinds of virtual machines will be supported in an IOTA Smart Contract chain depending on the demand. While IOTA Smart Contracts are relatively complicated, they offer the freedom and flexibility to enable wide-ranging uses of smart contracts.