Recently, Bitcoin has been on a strong upward trend, with its price breaking new historical highs and heading towards the long-awaited $100,000 mark. After enduring a three-year period of struggles, Bitcoin has allowed most holders to realize profits, and the approaching $100,000 price has once again drawn the world’s attention.

Similarly, the development of most things involves its own unique growing pains, and the development trajectory of the TON ecosystem this year is the best example. With the launch of Telegram Mini Apps, the TON Network entered its own cycle, with TVL rising steadily and ecosystem hotspots emerging one after another. However, beneath the surface of the TON ecosystem’s explosive growth, there were waves of controversial MiniGame token issuance.

This token issuance wave brought a brief prosperity to TON: trading volumes surged, the number of users skyrocketed, and numerous hot tokens emerged. However, the essence of this prosperity was that many game projects attracted users into farming through simple game mechanics and token incentives, but failed to sustain long-term value. This not only failed to bring substantial progress to the TON ecosystem, but also damaged market confidence to some extent.

In addition to the reputational damage caused by the token issuance wave, the TON ecosystem itself is facing more fundamental challenges. DeFi infrastructure plays a key role in every ecosystem; it is not only the basic guarantee for user transactions, but also the hub for the ecosystem’s healthy development. Just as Ethereum’s development could not have occurred without Uniswap, a good DEX can often become the fulcrum for ecosystem development. However, the current TON ecosystem is clearly struggling in this regard. The lack of decentralized trading infrastructure, the absence of a developer toolchain, and fragmented user experiences have made it difficult to gather liquidity effectively, and project teams are unable to obtain stable and reliable liquidity support. This shortcoming in DeFi infrastructure not only restricts the user transaction experience but also becomes a key bottleneck for high-quality projects to launch, directly impacting the healthy development of the TON ecosystem.

In response to the lack of confidence in the TON ecosystem, LayerPixel, an All-in-One DeFi solution, is attempting to improve the “structural issues” within the TON ecosystem through its unique innovative architecture and its core product, PixelSwap.

As PixelSwap is about to have its TGE in Q4, this article will delve into the innovative technical implementations of PixelSwap and help readers better understand its unique features and the details of its TGE.

PixelSwap: The Core DEX Under the LayerPixel Architecture

To understand PixelSwap, it’s important to first look at its parent project, LayerPixel.

As a Layer 1.5 solution on TON, LayerPixel solves the asynchronous and heterogeneous limitations of the TON blockchain through a modular architecture design, maximizing the advantages of sharding. At the same time, LayerPixel seamlessly integrates DeFi functions with Telegram Mini Apps, creating a complete ecosystem that includes a wallet, DEX, and oracle.

In the design of LayerPixel, several core components each play their role:

• PixelSwap, as the first modular DEX on TON, supports advanced trading models such as weighted pools and LBP.
• PixelWallet, an intelligent contract wallet with account abstraction (AA) features, provides users with a smooth DApp interaction experience.
• Pixacle, a decentralized oracle, offers fast and accurate price data support for DApps and smart contracts within the ecosystem.
• LayerPixel has also developed a complete toolchain for TON ecosystem developers, including convenient SDKs and APIs, along with practical experience, tools, and other resources accumulated by the LayerPixel team during their development work in the TON ecosystem.

As a key component of the LayerPixel architecture, PixelSwap’s utility in the TON ecosystem spans multiple dimensions.

In terms of security, the project collaborates with top global blockchain security audit firms to provide the strongest protection for user assets. Regarding user experience, PixelSwap integrates deeply with Telegram Bot, developing a seamless Mini App interface that allows users to complete all DEX-related operations with one click within the familiar Telegram environment, truly achieving a “silky smooth” interaction.

On a technical level, PixelSwap adopts an innovative layered architecture design, supporting multiple advanced trading algorithms. Among them:

• The atomic swap function enables complex DeFi trading scenarios to be completed in a single transaction.
• The weighted pool mechanism provides professional market makers with more refined liquidity management tools.
• LBP (Liquidity Bootstrapping Pools) offers project teams more flexible token issuance options.

Thanks to the deep technical support provided by PixelSwap, “easy user interaction + effortless project token launch” has become possible in the TON ecosystem.

The ecosystem collaboration between PixelSwap and LayerPixel further unfolds, creating a clear project incubation pathway for TON ecosystem developers. Developers can quickly build applications using the components provided by LayerPixel, and once successful, they can choose to deploy their projects on the PixelSwap platform. This synergy creates a positive feedback loop where LayerPixel is responsible for building the underlying infrastructure and development tools, while PixelSwap focuses on providing liquidity support for TON ecosystem projects.

This clear division of labor in the ecosystem layout enables developers to focus on product innovation without worrying too much about underlying technical implementations and liquidity issues. This is precisely the healthy interactive model needed for the vibrant development of the TON ecosystem.

A Closer Look at PixelSwap’s Art of Simplified Trading

Technology is the primary driver of productivity, and to truly understand the uniqueness of PixelSwap, it’s essential to explore the technical principles behind its diverse functionalities.

Atomic Swaps: Bundling All Steps Together

PixelSwap is the first and only DEX in the TON ecosystem to implement atomic swaps, making it one of the key technical innovations that provide users with a smooth trading experience on the platform.

Imagine the process of swapping tokens on a traditional DEX: first, you authorize token A, wait for confirmation, then authorize token B, wait again, and only then can you execute the swap. It’s like crossing three traffic lights to reach your destination. PixelSwap’s atomic swap mechanism cleverly solves this problem by designing a transaction orchestration system at the smart contract level, bundling all necessary actions (authorization, transfer, swap) into a single indivisible atomic operation. It’s like creating a dedicated tunnel in the city, where users can complete all trading steps with just one call from a TON wallet (such as TONkeeper).

From a technical perspective, PixelSwap’s atomic swap is built on the internal messaging mechanism of TON smart contracts. The carefully designed contract architecture ensures that all transaction steps either complete successfully or roll back entirely, perfectly meeting the atomicity requirement of blockchain transactions under the ACID properties. This not only reduces gas costs but also eliminates the financial risks that can arise from intermediate states.

With atomic swap support, users no longer need to go through complex steps for everyday small transactions. One click is all it takes to complete the entire transaction process, which is hidden under a simple interface, similar to using Alipay for everyday transactions.

Weighted Pools and LBP: Innovative Liquidity Management

On top of ensuring an exceptional trading experience, PixelSwap has also made deep innovations in liquidity management. The platform supports two advanced liquidity pool designs: weighted pools and liquidity bootstrapping pools (LBP).

Traditional DEXs typically use the constant product formula xy=k, similar to a glass of water: when you pour some out, the remaining water level rises quickly, leading to significant price fluctuations. PixelSwap innovatively introduces the weighted pool mechanism, using a more flexible formula: x^a * y^(1-a) = k. It’s like a container with an adjustable shape, allowing it to better adapt to market demands.

Based on the weighted pool technology, PixelSwap employs a dynamic adjustment mechanism known as LBP (Liquidity Bootstrapping Pools). During the pool operation, the ratio of the two tokens automatically adjusts, enabling the contract to passively buy or sell assets in one direction. This provides a more fair and efficient solution for new projects issuing tokens.

Imagine a new project issuing tokens on TON. Traditional methods are like setting up a stall with a fixed price, for example, “1 TON = 100 TOKEN.” But if the price is set too high, no one will buy it; if it’s set too low, big investors may swoop in and buy it all.

This is where PixelSwap’s weighted pools and LBP come into play. It acts like an intelligent market regulation system:

• What is the role of the weighted pool?

It adjusts the exchange rate during transactions. For example, if a project invests 1 million TOKEN and 1000 TON into the pool, the TOKEN will initially be easier to exchange (higher weight), offering early supporters a better price.

• How does LBP complement this?

It’s like setting a timer for the pool. Over time, the difficulty of obtaining TOKEN automatically adjusts (by modifying the weight). On the first day, 100 TON could exchange for 10,000 TOKEN, but by the seventh day, the same 100 TON might only exchange for 5,000 TOKEN.

Through the adjustment functions of the weighted pool and LBP, the entire token issuance process becomes smooth and efficient. The project team only needs to set a reasonable price curve range, allowing the market to naturally determine the price. It’s like designing a soft landing runway for the token, preventing sharp price fluctuations and avoiding excessive concentration of funds, thus ensuring a fair and efficient token distribution.

Priority to value contributors, $PIX token distribution targets real users

As mentioned earlier, the current market’s enthusiasm for token issuance in the TON ecosystem is not as high as during the MiniGame token issuance craze. With PixelSwap’s upcoming TGE, the team is well aware of the various concerns from market users. From the start, one of the key considerations has been how to make the $PIX token stand out from previous token launches and eliminate market biases.

Strict token distribution mechanism and high-quality user profile

True interaction means you’re one of us \
Traditional projects often use simple task-based airdrop systems, which are prone to attracting bot accounts and ultimately lead to significant sell pressure. However, PixelSwap requires users to prove their activity through genuine on-chain interactions. Users who perform swaps or provide liquidity on the DEX not only enhance their account’s “value” but also contribute to maintaining the health of the entire protocol. This deep involvement allows users to earn rewards while also fostering a sense of belonging to the protocol. The team has cleverly combined GameFi and DeFi, ensuring that every real investment within the gaming ecosystem translates into token rewards. This mechanism ensures that token holders are actual contributors to the ecosystem.

Connecting partners and high-quality users through Airdrop

Through the PIXArena platform, users can engage in substantial interactions such as Farming Pool and Swap with projects like Tomarket within the PixelSwap ecosystem to earn $PIX Airdrops. The “pay first, earn later” mechanism effectively filters out high-quality users who genuinely believe in the project’s development. Additionally, the innovative Airdrop cooperation models within the PIXArena platform provide partnered projects with precise channels to reach real users, creating a natural barrier against batch account arbitrage.

Tokenomics

As a DEX project in the TON ecosystem, PixelSwap’s tokenomics is designed with a “long-term” plan focused on sustainability and practicality. The $PIX token serves dual roles within the ecosystem: governance and incentive mechanisms.

Token distribution and unlocking

The total supply of $PIX tokens is set at 500 million, with a progressive unlocking mechanism. The community incentive portion accounts for half of the total supply, which will be used to support ecosystem growth, including liquidity mining and trading incentives. Early investors hold 20%, with 5% unlocked at TGE and the remaining 15% subject to a 4-month cliff and 18 months of linear unlocking. The core team and future employees are allocated 15%, with a 12-month lock-up period and 2 years of linear unlocking. An additional 15% is designated for special allocations: 3% for IDO, 2% for advisors, and the final 10% for liquidity addition.

Revenue Distribution Mechanism

The protocol’s revenue is distributed using a balanced allocation scheme, dividing the income into two equal parts. One portion is used to support the core team’s development efforts, ensuring the project can continue to iterate and upgrade. The other portion is allocated to a DAO-managed protocol treasury, with the use of these funds fully governed by the community.

Early Ecosystem Development

In the initial stage after the TGE, the team plans to use 3.5% of the community tokens to foster ecosystem growth. Of this, 0.5% will be airdropped to paying users within the ecosystem; 1% will be used for airdrops and collaborations with other Web3 ecosystem projects and KOLs, such as the 0.14% of $PIX allocated for the Gate.io platform’s initial subscription on December 18; and 2% will be used for retroactive airdrops and early liquidity incentives.

Conclusion

From the initial grand ambition of Real Mass Adoption to the current dual challenges of confidence and enthusiasm, the ups and downs of the TON ecosystem itself reflect the evolution of emerging technologies.

At this uncertain juncture, an interesting paradox emerges between technological innovation and market perception: the more the market sentiment is subdued, the more the need for grounded builders becomes evident; and the less developed the infrastructure, the more the project team’s technical insight and strategic patience are tested. LayerPixel and PixelSwap’s practices directly address this core issue — how to maintain technological innovation while ensuring that crypto applications return to solving real-world problems.

From a broader perspective, the development of any emerging entity is rarely smooth. The decline of short-term enthusiasm may be a necessary phase, offering the ecosystem a chance to consolidate and reflect, so that in the next development cycle, it can find a clearer direction.

In this process, what truly matters is not the surface-level boom or slump, but the pragmatic exploration that genuinely drives the ecosystem forward beneath the market’s fluctuations. This is perhaps the ultimate standard for evaluating a project’s value.

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