SpiritSwap vs SpookySwap – What DEX is the best?

SpiritSwap and SpookySwap both are two popular decentralized exchanges (DEX) on the Fantom Opera blockchain (FTM).

They look quite similar, but what is the best Fantdom DEX to use?

In this article, we will look into what is the ‘best’ DEX to choose on the Fantom blockchain: SpiritSwap or Spookyswap. 

SpiritSwap

Introduction to SpiritSwap

SpiritSwap is one of the first Decentralized exchanges (DEXs) built on the Fantom Opera Chain that the platform is based on an Automated Market Maker. It allows users to swap without any intermediary and centralized governance. Working with an AMM, Liquidity Pools automatically calculates the token price for two deposited tokens with high performance.

Whenever each swap is securely executed, traders will be charged a small fee of 0.3% as is usual for a DEX. And the fees are distributed to Liquidity Providers and inSPIRIT token holders to motivate the growth of the exchange platform. 5/6 goes to people who provide liquidity, and 1/6 goes to the protocol vault. This vault is used to reward people taking part in governance, for example by using inSpirit.

It currently accepts 5 ways to connect to the dapp: MetaMask, Coin98 Wallet, Coinbase Wallet, Clover Wallet, and Wallet Connect.

The development team announced in December 2021 to fully rework the user interface and site workings. This should improve site working and DEX efficiency since there will be little to no more legacy fork-code.

SpiritSwap’s smart contract is audited by MixBytes(). Read the report here.

At the time of writing SpiritSwap offers exactly 1,493 token pairs. They offer the usual DEX features like Bridge, Swap, Liquidity, Lend/Borrow, and some extra.

Read detailed information about the SPIRIT token and the tokenomics

Visit the official information page of SpiritSwap for all statistics.

Team and Community of SpiritSwap

SpiritSwap has an active community. There are various language-specific channels on Discord as well and they love to help newcomers.

It would be an improvement if their team consists of people from other countries as well.

• Telegram – SpiritSwap Announcements
• Discord – Community chat

Features and Roadmap

SpiritSwap offers a wide range of DeFi products: swapping, farming, staking, bridging, lending/borrowing, NFTs, IDO and more.

They use a strategy of diversification. We will highlight two interesting features.

inSPIRIT

The SpiritSwap team is working on transitioning the ‘inSPIRIT chain’ that was introduced earlier into a DAO (Decentralized Autonomous Organisation) and unlock the full potential of the DeFi tech.

Other projects have an interest in acquiring inSPIRIT to boost a farm that has the projects tokenpair in it, and users can lock up SPIRIT for inSPIRIT to retain voting weight. This way users decide the future of the protocol. Read more about inSPIRIT here.

Ape Mode

In January 2022, the much-awaited Ape Mode will be launched. Ape Mode is a leverage trading feature and SpiritSwap is the first to implement such a thing on Fantom’s DeFi ecosystem.

In short you can deposit FTM (for example) as a collateral. That FTM is then used to take out a loan (MIM) on the Abracadabra platform and used to purchase more FTM. This additional purchased is the leverage you open your long position with. So in this case we would have a leverage of two.

This is a interesting feature to gain more profit using SpiritSwap, but also a risky one. The magic word is “Liquidation”. Read this Medium article for a more in-depth explanation of SpiritSwap’s Ape Mode.

You can check out SpiritSwap’s roadmap here.

Is SpiritSwap (SPIRIT) a good investment?

SpiritSwap still has a first-mover advantage in the Fantom ecosystem. It is one of the first DEXs built on Fantom.

The token price has been quite volatile though. SpiritSwaps TVL (Total Value Locked across farms) hit a record of more than $300M locked end of October 2021. However, since then it has dropped and seems to have bottomed out. We have seen several upward spikes since then. This might be a signal that of a cash flow comeback.

SpiritSwap is relatively far smaller than other decentralized exchanges like UniSwap, PancakeSwap and others. But those were built on much bigger blockchains and exist for a longer period of time. Those also have already way higher marketcaps and thus less growth-potential. Fantom has seen a huge interest lately and climbs the ranks steadily, which could result in SpiritSwap taking a bigger piece of the DeFi cake.

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SpookySwap

Introduction to SpookySwap

SpookySwap is an automated market-making (AMM) decentralized exchange (DEX) for the Fantom Opera network. SpookySwap is building a foundation with the BOO token as a governance token, various farms, a built in bridge and built in limit orders.

When you swap (trade) on the exchange, you will pay a 0.2% trading fee (0.22% for limit orders), of which 0.17% is returned to liquidity pools as a reward for liquidity providers and 0.03% to people providing the liquidity.

It currently accepts 6 ways to connect to the dapp: MetaMask, Coinbase Wallet, TrustWallet, MathWallet, TokenPocket and WalletConnect

SpookySwap’s smart contract is audited by CertiK. Read the report here.

At the time of writing SpookySwap offers exactly 8,316 trading pairs. They offer the usual DEX features like Bridge, Swap, Liquidity, Lend/Borrow and some extra.

Read detailed information about the BOO token and the tokenomics

Visit the official information page of SpookySwap for all statistics.

Team and Community of SpookySwap

Unfortunately SpookySwap’s team is anonymous.

• Telegram – SpookySwap Announcements
• Discord – Community chat

Features and Roadmap

SpookySwap provides a wide range of DeFi products: swapping, farming, staking, bridging and NFTs. We will highlight two distinct features.

Single Stake Pools

Single-stake pools is where only one type of token is needed to stake. No LP token-making is required, so you dont have possible impermanent loss risk that is associated with liquidity farming.

Using SpookySwap you can stake your BOO to earn a buyback boo token, xBOO to represent your share of the staked pool. You can use that xBOO to stake and earn other tokens in the pool list. View xBOO for more details.

Magicats

Magicats is the Genesis limited series of generated non-fungible-tokens (NFTs) from SpookySwap. 5000 NFTs will be minted utilizing over 125 unique art assets. Additionally, each NFT will have a unique name and description generated to complement the lore. 50% of royalties from every sale on the market will be used to buyback BOO. Read more about the Magicat NFTs.

You can check out SpookySwap’s roadmap here.

Is SpookySwap (BOO) a good investment?

SpookySwap and SpiritSwap are quite similar. They both follow the same theme, but SpiritSwap has a way lower TVL than SpookySwap. Just like SpiritSwap it has a first-mover advantage.

In May 2021, SpookySwap had a good start with TVL of over $90 million. We see the price of Fantom trending up. This has a considerable impact on SpookySwap. SpookySwap’s TVL seems to rise without stopping. This makes SpookySwap a promising project on Fantom, but could also pose a risk in the shorter term.

SpookySwap is a good choice and currently is the leading DEX on the Fantom blockchain.

SpiritSwap vs Spookyswap: comparison and conclusion

Click on ‘log’ to better compare the Bitcoin value of both tokens.

To start with: both have an alive and intelligent community. So a decision on that is personal preference. However, SpookySwap’s team is anonymous while SpiritSwap’s team is fully doxxed. This could pose a risk.

If we look purely at market cap, SpiritSwap has the most growth potential. SpookySwap is more established, and thus may be the less-risky option.

User Experience and User Interface

SpookySwap has an easier-to-use interface, with a simple top navigation bar. However, SpiritSwap has the option to view your portfolio. Here you can see all your earnings and liquidity combined without needing to use a DeFi dashboard.

Fees and rewards

SpiritSwap has a 0.3% fee for every swap that incurs. 0,25% of the fee goes to liquidity providers and 0,05% of the fee goes to the protocol fee vault.

SpookySwap is cheaper to swap: 0.2% (0,22% for limit orders). 0,17% is returned to liquidity providers and 0,03% goes to xBOO stakers. There is no vault or treasury.

In short it is better to use SpookySwap for swapping, but is more attractive to provide liquidity on SpiritSwap. Of course this is all dependent on volume. With consistent higher volume and same relative percentage of stake, you currently receive more fee earnings from SpookySwap. But because SpiritSwap’s marketcap is lower, it is cheaper to buy more %-stake in SpiritSwap, this might be very attractive if you think volume will increase in the future.

Features, Development, Tokenpairs

SpookySwap offers an even wider range of DeFi products than SpiritSwap does. It depends on your needs which one to choose, but SpookySwap is feature-wise ahead of SpiritSwap. They also offer more TokenPairs, so you might get the niche trading pair you are looking for. Development is more transparent with SpiritSwap, since their team is approachable.

Conclusion

Both DEXs offer a wide range of products and are at the top of DEXs on the Fantom blockchain. It depends on what you are searching for. If you are all about token-price gains, SpiritSwap might be a better (short-term) pick, but if you are looking for special token pairs or a more established DEX, SpookySwap is the way to go.

They both offer unique features, so that could impact your choice as well. For example SpookySwap has the option to single-asset stake, so you do not have the risk of impermanent loss that you have when you do liquidity farming. And SpiritSwap offers a way to leverage-trade your assets.

Lastly, if you value team transparency, SpiritSwap may rank higher. However, sometimes it is best to not know the heroes behind your favorite project.

We hope this post gave you a better insight into the similarities and differences between SpiritSwap and SpookySwap.
As always, whether it is worth investing or not, Do Your Own Research before buying.