Komodo completes first peer to peer, AMM-free fundraise in the industry

Komodo completed the first peer-to-peer, AMM-free, cross-chain fundraise with tokenization infrastructure provider Tokel. Komodo is behind AtomicDEX, a product that makes it possible to exchange and transfer assets between wallets safely, instantly, and without requiring AMMs, Invezz learned from a press release. This achievement will further the development of stronger mechanisms that will upgrade DeFi infrastructure security.

A solution to AMM hacks

The fundraise used a unique approach that allows access to tokens without using automated market makers (AMM). This happens against the backdrop of continuing DeFi fundraise hacks. Uranium Finance and Meerkat, both AMMs, lost $50 million and $31 million in attacks respectively. Komodo’s fundraise used a peer-to-peer, decentralized order book. The approach also helps lower fees because this liquidity model makes sure that during an IDO, an investor can lock in a concrete exchange rate without having to worry about slippage.

Komodo CTO Kadan Stadelmann commented:

According to Tokel Lead Developer Nutella Licka:

Thanks to the new mechanism, almost $1,000,000 was invested in Tokel, a project with a specific focus on creating NFT infrastructure for the Komodo ecosystem.