A pangolin in the wild
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The leading decentralised exchange on Avalanche, Pangolin, has just released its V2 update. Less than a year after its launch, and after almost $10,000,000,000 in trading volume, the DEX is going through a major overhaul which includes new pools, liquidity provider optimisations, additional rewards and a massive improvement to PNG token scarcity.

The version 1 pools are already inactive, meaning that liquidity providers should immediately migrate to V2 in order to enjoy PNG rewards.

The new pools will provide liquidity for a multitude of new and important Avalanche ecosystem tokens. They also include a USDC.e-DAI.e and a USDT.e-DAI.e pools for bearish crypto enthusiasts and risk-averse yield farmers.

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APRs are gradually decreasing as liquidity providers are moving to the new platform to take advantage of the generous reward system, with stablecoin farms already dropping below 40%. Rates on higher risk pairs are still remarkably high – for example the SPORE-AVAX pair has a whopping 1393% rate.

Auto compounding services have been quick to take advantage of the new pools. Users of Snowball, Yield Yak, Impermax and Penguin can all seamlessly take advantage of the new pools and improved rewards.

As for V2 updates, pangolin developers have also focused on tokenomics improvements. This comes as no surprise, as PNG price directly impacts reward rates which in turn are crucial for the ability of the exchange to attract liquidity and volume.

As per the official documentation of the DEX, the emissions schedule for the token has been cut from 28 years down to 4, while 57% of the remaining PNG tokens will be burnt in order to drastically improve scarcity. This decision did not result in a massive price increase during the V2 announcement, and since then, PNG price has been following the downwards direction of AVAX.

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