What is Cauldron?

Cauldron is an open-source smart contract designed for liquidity provision and CashToken trading on the Bitcoin Cash network, emphasizing non-custodial automated liquidity protocols with a focus on transparency and user accessibility.

Developed by Riften Labs, Cauldron operates through its interface, Cauldron DEX, where users can create micro-pools to earn yields from the liquidity they provide. Liquidity providers (LPs) retain full ownership of their pools and receive 100% of the liquidity provider fees (currently set at 0.3% per swap).

Cauldron DEX utilizes the automated market maker (AMM) model, employing smart contracts to standardize processes for creating liquidity pools and swapping CashTokens. The micro-pools approach allows individual users to operate their own CPMM contracts, ensuring scalability without the need for a global state. This implementation makes Cauldron a crucial element in fostering a vibrant token ecosystem on the Bitcoin Cash network, addressing the absence of a Decentralized Exchange (DEX) and facilitating efficient decentralized trading.