On-Chain Exchange analysis of Algorand
Overview of analysis:
Let’s take a closer look at DEXs on Algorand. The challenge here is to build the Ultimate On-chain Exchange Dashboard that will keep Algorand ecosystem users informed about the exchanges in the Algorand ecosystem and allow them to compare their options.
This dashboard divided into the following parts:
- The comparison between various swap programs on Algorand
- The precise analysis on the selected swap program
- Mot popular assets and swap pairs on selected swap program
- The features of swapped related to the selected swap program
This tool called exchange analyzer and reader can set three various parameters:
- Swap program→ Default set to Tinyman
- Time period→ Default set to the past 3 months (90 days)
- Time Basis→ Default set to day
Methodology:
The data provided by Flipside has been used to handle this analysis.
First of all wanna talk about the excluding some swaps from the tables. By investigation on the swaps of various programs it can be seen that some swaps has unnormal USD amount as swap volume and the main reason of that is because of price table and its missing data. To deal with that the following approach has been adopted:
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Find out the USD volume of swap in and out and select the transactions that have difference_usd<100 means that difference of swap volume should be under 100 USD.
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Swap related metrics→ Swaps, traders, volume in USD, cumulative analysis, 7-day moving average, average trader and volume of trade per day
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Popular assets and asset pairs identified based on: Volume, swaps, traders and etc.
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Other metrics related to traders→
- ALGO balance
- Swap frequency
- Creation of wallets
- Crossover with other DEXs
- NFT holding feature
Algorand Blockchain:
Algorand is a decentralized network designed to solve the triple problem of blockchain (speed, security and centralization). This network was launched in June 2019.
Algorand is an open source blockchain with no need for permission that anyone can build and develop on. The focus of this network is on payments and execution of high-speed and instant transactions in the shortest possible time. Every second, more than 1000 transactions are processed in the network and finalized in less than 4 seconds.
The platform is built around a new proof-of-stake consensus mechanism called Pure Proof Of Stake. The system is designed as a fast and fair consensus system that allows holders of ALGO cryptocurrency to participate in block production and earn rewards for doing so.
ALGO is a native token of the Algorand blockchain, which is used for various purposes such as receiving rewards from the consensus proof of net stake or paying transaction fees on the network or as a means of payment.
DEXs on Algorand:
Decentralized exchanges (DEX) are peer-to-peer markets where digital currency traders conduct their transactions directly without entrusting the management of their funds to an intermediary or third party. These transactions are facilitated through the use of self-executing agreements or smart contracts. DEXs were created to eliminate the need for any authority to monitor and authorize transactions made on a particular exchange. Decentralized exchanges enable peer-to-peer (P2P) trading of cryptocurrencies.
Tinyman is a decentralized trading protocol which utilizes the fast and secure framework of the Algorand blockchain, creating an open and safe marketplace for traders, liquidity providers, and developers.
AlgoFi is a decentralized exchange (DEX) and lending protocol which allows users to lend different Algorand assets to earn interest.
PactFi: As one of the most user-friendly Algorand dApps, Pact is a mobile-first designed trading experience offering deep liquidity and low transaction fees.
HumbleSwap is a new, decentralized exchange that has passed stringent security assessments to ensure customer funds' safety.
Fxdx is a decentralized derivatives exchange with lighting fast transaction speed and minimal transactions costs with institutional grade centralized UI/UX experience.
WagmiSwap is a decentralized exchange built on the Algorand Virtual Machine. A community-driven decentralized exchange with fast settlement and low transaction fees.
Part 1: General comparison of DEXs on Algorand
Findings:
The comparison between various swap programs reveals that:
- The Tinyman has been dominated the swaps on Algorand ecosystem in term of swaps, traders and volume in USD.
- The diversity of swap pairs on Tinyman is remarkable with 6685 unique pools on it.
- The fxdx has the highest average swap volume in USD and the HumbleSwap stands in the second rank.
- The Tinyman has the highest average swapper and volume in USD per day with over 1.52 million USD.
Findings:
The default time period of this investigation is set to the past 90 days in the daily basis:
- The comparison over time reveals the domination of Tinyman over the past 90 days.
- The spike of swap volume (in USD) over the past 90 days happened on November 9 and all of the swap programs experienced their peak point in the past 3 months.
- The 7-day moving average swap volume in USD shown that in some periods HumbleSwap and fxdx have higher volume than other swap programs.
Part 2: Comparison of DEXs on Algorand over the chosen time period
Part 3: Detail analysis on selected DEXs on Algorand over the specific time period
Findings:
After comparison of various swap programs on Algorand, this section determine the precise investigation of the swap activity of selected swap program (default as Tinyman):
- By the use of the outcomes related to this section, the swap behavior on selected DEX and over the defined time period has been obtained.
- For example, the swap volume on Tinyman over the past 90 days reached its maximum level on November 9 and the 7-day moving average swap volume validate this consequences.
Part 4: Most popular assets swapped by selected DEX on Algorand
Findings:
This section has been used to identify the most popular assets and asset pairs on the selected swap program (default as Tinyman):
- In this section, the most popular assets and swap pairs identified by total swap volume in USD. Also, the count of swaps and unique traders for these assets have been underestimated.
- For example on Tinyman, the ALGO and USDC are most popular assets that have highest swap volume. Also, the ALGO-USDC swap pair with over 113.3 million USD takes the lead for popular swap pair.
Part 5: Features related to the traders of selected DEX
Findings:
One of the most important parts of this investigation is this section which includes the behavior of swapper for selected DEX (default as Tinyman):
- The ALGO balance and most popular other assets held by these swappers identified.
- The frequency of using swap program and age of wallets determined too.
- Also, the crossover between users of selected swap program and other DEXs underestimated as a notable key metric
Useful links:
Author:
Credited by MZG
Discord handle: m.zamani#0361
Twitter handle: @GargariZamani





