What is Blackhole and How Does This DEX Work on Avalanche

Blackhole is a decentralized exchange (DEX) built on the Avalanche blockchain. It is designed as a trading and liquidity hub for new projects, especially those related to gaming, artificial intelligence (AI), and decentralized finance (DeFi).

Its design combines ideas from well-known protocols and adds its own tools to improve the experience for users and developers.

What is Blackhole

Blackhole is a DeFi platform in development with advanced features for trading and liquidity creation. It takes ideas from projects like Curve, Solidly, and Uniswap, but adds improvements focused on governance, efficiency, and community participation.

Here are some of its main features:

• veNFTs: Users can lock tokens to participate in protocol decisions and earn benefits. There are two types:

  1. Singularity: locks tokens for a set time (up to 4 years).
  2. Supermassive: locks tokens permanently (they are burned). This provides extra benefits and prevents the founding team from selling their tokens in the future.

• Genesis Pools: A system where projects and the community create liquidity before a token's official launch. Users contribute funds and receive yield-bearing tokens as rewards.

• ve(3,3) Model: Users who lock their tokens can vote on which pools receive rewards. They also earn a share of the fees and bonuses that projects offer in exchange for votes.

• Team tokens permanently locked: The team’s tokens are removed from circulation, which prevents future sales and aligns their interests with the community.

Why Avalanche

Blackhole was built on Avalanche for several reasons:

• Low fees and fast transactions
• High scalability: its structure prevents any game or event from slowing down the whole network.
• Support from the Avalanche ecosystem, which also invests in the development of AI and Web3 gaming.

This support allows Blackhole to grow confidently by leveraging Avalanche’s technology and backing.

The $BLACK Token

$BLACK is the protocol’s main token. It is not yet available on exchanges but will be essential for governance, rewards, and Genesis Pools.

The entire token supply will be distributed to the community. Users will be able to lock their $BLACK to receive governance NFTs and participate in decisions. They will also earn rewards for voting and providing liquidity.

Partnerships and Collaborations

Blackhole works with various ecosystem projects to bring more liquidity and real use cases to its platform:

• SeedifyFund: will use Blackhole as its main DEX on Avalanche.
• Moontropica and Haunted Space: will integrate their games into the Genesis Pools system.
• GUNbyGUNZ and HashAI: will expand their liquidity using the platform.
• 0xGasless and Claude MCP: allow swaps using natural language, making the experience easier.

What to Consider

Blackhole aims to become a key tool within Avalanche, especially in sectors like GameFi and AI. It is still under development, and its token hasn’t launched yet. However, its community model, design, and partnerships make it a different kind of proposal.

As always in the crypto world, it’s important to analyze each project carefully. Cryptocurrencies carry risks, and each user should do their own research before investing.