Phoenix - The Next Solana DEX That Could Surprise Users With An Airdrop

The Next Round

Jupiter has been garnering a lot of attention of late, regarding airdrops and the ever-increasing adoption of their decentralized exchange. As mentioned in my previous post, it’s airdrop season! Now’s the time for new protocols and platforms to begin leveraging the bull market dynamic. Even though things appear rather “quiet” at the moment, it’s classic behavior for this particular stage of the cycle.

A rather disappointing performance from the JUP token doesn’t negate the fact that the Jupiter airdrop was incredibly profitable for many Jupiter users. Free money remains free, regardless of price fluctuations associated with the token involved. Even though there will be ongoing airdrop rounds of JUP for Jupiter users, it’s always a great idea to begin looking at several future potential airdrop opportunities.

There are a handful of up-and-coming airdrops within the Solana ecosystem. However, many of these involve providing liquidity and leverage/futures trading. Something that not everyone is perhaps comfortable with, or able to do. However, a DEX like Phoenix may well be a future airdrop that rewards users for simply conducting swaps. Opportunities like this involve incorporating Pheonix into your daily trades.

In other words, instead of focusing primarily on Jupiter, or any other DEX, conduct regular swaps on alternative protocols that could in time also surprise you with an airdrop. Let’s be honest, a DEX without a native token seems a little foolish, right? It’s a reasonable assumption that in time… most, if not all DEXs will launch a token, and Phoenix is likely to be one of them.

Despite the DEX having a rather limited offering, regarding trading pairs, the volume is surprisingly impressive. When you consider how many pairs are available on Jupiter or Raydium, for example, you can begin to appreciate this dynamic. Essentially, a DEX needs to facilitate enormous volume, if it is to secure a foothold and ensure longevity. Before Jupiter, when it came to DEXs on Solana, it was primarily Raydium and Orca.

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According to a post on Phoenix’s official X account, on the 16th of January, the all-time volume was $5.18 billion. At the time of writing, the all-time volume is approximately $ 7 billion. That would imply an average monthly volume of approximately $3 billion. The incorporation of additional trading pairs, as well as a spike in adoption could see that number increase rather rapidly.

The recent resurgence of Solana over the past year has of course attracted a lot of developers and new projects. Many of these are DeFi-based, such as Jupiter, MarginFi, and Marinade Finance. This simultaneously creates an opportunity for new industry leaders to rise. For example, the once prominent Raydium has now been dethroned by Jupiter, at least by market cap ranking. At the time of writing, RAY is trading at a market cap of $260 million, while JUP is trading at a market cap of $720 million.

It’s likely to be a rather “competitive” year, and we are likely to see numerous newcomers rising to prominence. I am not suggesting that Phoenix is going to be one of these. However, there is a relatively good chance that Phoenix will eventually launch a token, and subsequently airdrop it to users of the DEX. The fact that Phoenix is exclusively a DEX, reduces the qualifying criteria.

Final Thoughts

Essentially, conducting swaps and limit orders on the DEX would be the only way for users to qualify, at this stage of the game. Choosing to do a couple of swaps on Phoenix every so often, may in time prove to be a rewarding decision. It’s all about increasing your odds and being able to leverage as many opportunities as possible. All the best, catch you next time!

Disclaimer

First of all, I am not a financial advisor. All information provided on this website is strictly my own opinion and not financial advice. I do make use of affiliate links. Purchasing or interacting with any third-party company could result in me receiving a commission. In some instances, utilizing an affiliate link can also result in a bonus or discount.

This article was first published on Sapphire Crypto.

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