Switcheo has announced it is establishing an ICS-20 SWTH token, increasing access to additional blockchains. The ICS-20 token standard is compatible with a Cosmos network upgrade, increasing cross-chain interoperability for the Switcheo TradeHub blockchain and Demex trading platform.
The ICS-20 SWTH will be created upon the Cosmos Inter-blockchain Communication implementation. Cosmos is a scalable network of parallel BFT-powered blockchains that can interoperate with one another. Switcheo noted that the token standard will enable new utility and liquidity for the SWTH token. Switcheo stated:
Switcheo TradeHub will be able to support cross-chain trading of ICS tokens (such as ATOM) against tokens from the Ethereum, Neo and Binance Smart Chain (BSC), with more supported chains to come. This not only means that tokens on Cosmos blockchains can be traded against ERC-20, BEP-20 and NEP-5 tokens on Demex, but true cross-chain liquidity pools for these tokens can also be created to earn yield!
Switcheo TradeHub offers the ability for users to stake SWTH tokens to validator nodes responsible for securing the network. Staked tokens receive rewards in multiple cryptocurrencies, including nNEO, SWTH, ETH, stablecoins, and others. Once Demex integrates ICS-20 markets, staked SWTH will also earn ICS-20 tokens from trading and other fees.
Switcheo also noted that the upgrade will offer the TradeHub blockchain faster transactions, lower gas costs, and more transactions per block. The team anticipates that Demex is poised to benefit from further interoperability as cross-chain transaction volumes continue to increase.
The full announcement can be found at the link below: