On-Chain Liquidity Protocol
What is Kyber's On-Chain Liquidity Protocol?

With the explosion in the number of tokens today, each token is often usable only within its own isolated ecosystem.

Kyber’s on-chain liquidity protocol enables decentralized atomic token swaps to be possible everywhere. This powers seamless payments and transactions and allow tokens to be used across a wide range of different applications, platforms and ecosystems.

The protocol allows open contribution of liquidity in the form of token assets and simple integration by DApps and projects to leverage the decentralized liquidity pool, enabling a more connected tokenized world where any token is usable anywhere.

For example, vendors are able to accept payments in multiple tokens on their e-commerce platforms yet receive in their preferred token. In addition, DApps can allow users who are not their token holders to utilize their platform and services with other tokens, and decentralized financial projects have the means to rebalance their portfolio instantly.

How does Kyber enable any token to be usable anytime, anywhere?

Kyber is making tokens liquid and widely usable by enabling atomic token swaps in any application. With Kyber, tokens can be utilized and spent on a wide range of different applications and ecosystems.

Given today's context, tokens are only spendable on the issuing platform, i.e. Token A is only spendable on Platform A and Token B is only spendable on Platform B. With Kyber integration, Token A can be used/spent on Platform B, because Kyber enables the seamless conversion of 1 token to another.

For example, a user can directly pay Omisego (OMG) tokens to access Gifto platform services, as GIFTO tokens are purchased in the backend via Kyber's smart contract in 1 single atomic transaction. Thus Gifto users do not need to go through the hassle of first purchasing GIFTO tokens on a centralized exchange. The Gifto platform can also receive the payment in their preferred token such as ETH or a stable coin like DAI.

Other use cases include

- Wallets: Atomic token swaps without leaving the wallet

- Vendors: Multi-token acceptance for payments

- DApps: Multi-token acceptance for using platform services

- Financial DApps: Portfolio rebalancing and fund allocation

How can I use Kyber's on-chain liquidity protocol?

KyberSwap: KyberSwap is a retail platform that is powered by Kyber's on-chain liquidity protocol to enable users to buy or sell a wide range of tokens easily. By leveraging the decentralized liquidity pool, transactions on KyberSwap are fast, simple and secure.

Developer Portal: Provides a clear set of developer tools and documentation to allow any blockchain or decentralized project to integrate and utilize Kyber's liquidity pool for a wide range of inter-token use cases. For instance, allowing vendors to accept payments in multiple tokens or allowing financial DApps to seamlessly rebalance their portfolio. Many platforms have already integrated with Kyber, including MyEtherWallet, imToken, Easwap, MoatFund, Betoken and Galion.

Anyone, whether you are a user, wallet, vendor, DEX or DApp, can utilize our open-source, platform-agnostic protocol to build innovative decentralized projects.

Reserves: Provides liquidity to the entire network. Entities such as Fund managers and Token teams, can easily become Reserves by contributing their idle token assets to our decentralized liquidity pool. These tokens become available for use across any platform that taps into the pool, making them instantly more liquid and widely usable. Reserves can earn from the spread in every transaction and rebalance their portfolios, while providing liquidity and value exchange for the entire tokenized world.

We welcome you to send any feedback about our interfaces to: [email protected]

How open is the on-chain liquidity protocol? Do i need to register to access it?

Kyber’s on-chain liquidity protocol is open to everyone and people can freely utilize it and tap into the liquidity pool to build innovative applications, without the need for registration.

But products that are utilizing the protocol might have their own specific restrictions.

KyberSwap: No registration needed to enjoy fast, simple and secure atomic token swaps. But to be eligible for the highest tier token swap limit, you have to register and submit the necessary documents. Each address is allowed to trade up to US$3,000 per transaction, with a maximum US$15,000 daily trading limit. If your submission is approved, your limit will be adjusted and higher trading limits of US$6,000 per transaction, US$200,000 daily trading limit will be applied.

Smart contract Integration: No registration or permission needed to integrate with Kyber. Just plug into our liquidity protocol and gain access to seamless liquidity and a wide range of tokens for different applications. To earn commission, you will have to register with us. Documentation and guides can be found on our developer portal.

Widget creation: No registration or permission needed to create a Kyber widget to accept multiple ERC20 tokens as payment on your website.

Reserves: No registration or permission needed to become a Reserve.

What are the properties of Kyber's on-chain liquidity protocol that help power different applications and atomic payments?

Platform-agnostic: Kyber allows any application or protocol to be powered by our on-chain liquidity protocol, without limiting innovation and ecosystem diversity. You can just openly integrate and tap into our liquidity pool.

Making real world commerce feasible: Our protocol makes real world commerce and decentralized financial products feasible by enabling instant inter-token transactions with a wide range of token options and low settlement risk, which are critical factors for many real world use cases. People want to be able to transact and utilize services instantly with low fees and without transaction uncertainty. These transactions also published on the blockchain, making the information for these transactions transparent, and equipped with the security guarantee of the blockchain network.

Built for ease of integration: Kyber is built for ease of integration with different applications. Our key design focus is to be developer-friendly and highly compatible with other systems.

Transparent: Everything is done on the smart contract and fully on-chain, leading to a fully secure, transparent and verifiable financial system.

Fast transactions: The availability of token reserves within the liquidity pool allows for speedy atomic transactions, as the contract can send over the corresponding amount of requested tokens to the requesting wallet as soon as the order is placed.

What is the utility of KNC in the on-chain liquidity protocol?

KNC is an ERC-20 utility token and an integral part of Kyber Network as it facilitates the smooth operation of the reserves system.

To operate and provide liquidity, it is necessary for 3rd party token reserves to purchase KNC to pay for their operation. Reserves are incentivized to provide liquidity to the network because they get to earn a spread from every transaction that involves their liquidity pool. Part of this fee will also be given to Kyber for network access.

Kyber's on-chain liquidity protocol is designed with the intention of making the reserve pool rich and vibrant, so that the liquidity of supported tokens in the network is constantly high, and liquidity takers can utilize it for purposes including but not limited to in-app token swap, multi-currency payment gateway etc.

As more reserves are set up in the liquidity protocol and adoption of the protocol through KyberSwap and other products increases, more KNC will be utilized for network fees.

Find out more about KNC here: https://kyber.network/about/knc

When is Kyber Network introducing its cross-chain solution? When can I gain access to Bitcoin or other non-Ethereum network tokens?

Currently, Kyber only supports tokens on the Ethereum Network. We are evaluating various cross-chain solutions and will be providing cross-chain token pairs as soon as they are available. 

Together with our partners, Kyber Network is excited to bring Bitcoin to Ethereum through the creation of Wrapped Bitcoin Tokens (WBTC) .

Learn more: https://blog.kyber.network/wbtc-a-community-effort-to-bring-bitcoin-to-ethereum-b9b63e3b86e6

How do I add my coin to Kyber?

Kyber does not charge any listing fees for your coin/token, and we accept all utility tokens. Once listed, the token becomes available in KyberSwap and across all integrated platforms.

As the Kyber Reserve manager needs to hold tokens in reserve to provide liquidity, we receive many requests for coins to be added. We would greatly appreciate that you send your request to [email protected]

Please include as much information as possible. The below details are required:

  • Subject

  • Description

  • Wallet address

  • Transaction ID