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Launchpool Announces AME for Swarm Markets: The World’s First Regulatory Compliant AMM DEX and Securities Issuance Platform

Swarm Markets is the newest addition to Swarm Capital’s suite of modular applications and is the world’s first licensed automated liquidity protocol. Swarm Capital is the premium service provider built on top of the Swarm Protocol — the open and permissionless protocol designed to offer infrastructure for the issuance of regulatory compliant digital securities. Swarm Capital’s suite of products to date includes InvestorPassEarlyBirdBlackBird, and the Swarm App. Swarm Markets will add a DeFi-enhanced liquidity pool mechanism to this suite of decentralized, but still regulated, financial products.

Swarm Markets Combines the Best of Defi Innovation With Regulatory Compliant Infrastructure.

Swarm Markets is the newest entry in Swarm’s protocol suite, and it has been designed in response to the runaway success of Automated Market Making (AMM) based decentralized exchanges such as Uniswap, Balancer, and Sushiswap. These platforms are a major step forward for the crypto industry and have grown with such rapidity that they now rival all but the largest of traditional crypto exchanges. The growth of AMM exchanges has also led to the IDO (Initial Dex Offering) phenomenon, where assets are issued directly through such platforms.

While AMMs offer many advantages to both traders (self custody of assets) and issuers of assets (various incentivized liquidity models), they also have one significant drawback — lack of regulatory oversight. This particular shortcoming is a major barrier that prevents many institutions and savvy forward-thinking investors from participating in IDOs and trading on AMMs. Their investment mandate or investing philosophy simply does not allow it. Swarm Markets combines the best of both worlds by combining DeFi features with Swarm’s technology to create the world’s first regulatory-compliant liquidity protocol.

Through the Swarm Markets platform, asset issuers can manage both the initial sale and issuance of their digital securities and also establish customized liquidity pools and incentivized liquidity models — all with the confidence that they are compliant with legal regulations every step of the way! For asset purchasers and traders, they can trade or participate in sales with the confidence that their activity is “future-proofed”, and will not come back to bite them later in case of new regulations.

Swarm is Building a Compliant DeFi Ecosystem

As mentioned previously Swarm Markets is the latest jewel in the emerging Swarm landscape of Swarm blockchain asset products. InvestorPass is a digital identity solution for digital asset investors which allows them to verify their identity once and then use InvestorPass as a digital passport to participate in a wide range of investment offerings. EarlyBird is a lead generation and CRM tool which, by default, also includes access to InvestorPass. It makes it easy to reach qualified potential STO investors and manage communications with them. Blackbird is an investment portal with industry-grade security which makes the secure and regulatory compliant sale and issuance of digital securities a snap. Swarm App is the user-friendly interface to the Swarm Protocol which makes it easy for anyone to specify the details of their security and create it using the Swarm’s infrastructure. Swarm Markets knits these advanced technology products together via the most important innovation of DeFi — pooled liquidity.

Meet the Swarm Market Token — the Fuel that Hypercharges the Swarm Market Engine

Distribution of the Swarm Market Token (SMT) will initiate with the launch of the platform and will continue over a 100-year schedule, with an annual 25% decrease in issuance. The token will offer users a 50% reduction in trading fees as well as a significant boost to liquidity mining rewards for users who hold at least 10% of LP value in SMT. This is just the start for SMT, as other token utilities are under development and will soon be shared with the community.

Advantages of Swarm Capital

Swarm Capital has been offering services for the issuance of regulatory compliant digital securities since 2019 and has a depth of experience that just can’t be matched! Their current suite of tools for the issuance of securities makes it easy for projects to deal with potential thorny issues such as identity management, sale and issuance portals, custody, and much more. When Swarm Markets is combined with their existing tools such as InvestorPassEarlyBirdBlackBird, and the Swarm App, it makes the sale, issuance, and ongoing management of liquidity a snap!

Lack of licensure can be a major barrier for many organizations who wish to work in the securities space, but that’s not a problem for Swarm! Swarm Capital already holds licenses in Europe (Germany and Jersey), which allows them to legally offer custodial and securities issuance services. Swarm Markets represents an important piece of the evolving Swarm ecosystem. The SMT token will be the fuel that underpins the liquidity of all the future digital assets to be issued on the Swarm.


About Swarm

Swarm Markets is the world’s first licensed Decentralised Finance (DeFi) platform that combines the convenience and transparency of DeFi with the confidence of financial market compliance. Licensed in Germany and serving global users — retail and institutions alike.

About Launchpool

Launchpool ($LPOOL) leverages communities, knowledge, expertise, contacts and capital to provide crypto projects with the best possible start to life, maximising their chances for success in this fast moving & dynamic space.


Image by Josipixx from Pixabay 

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