Basilisk is a liquidity protocol designed for the Kusama ecosystem. Its goal is to provide smooth liquidity services that adapt to the changing requirements of crypto assets, covering both fungible tokens and non-fungible tokens (NFTs). Basilisk supports emerging crypto projects as they distribute tokens to their communities and handle early price discovery. It also serves as an entry point for liquidity bootstrapping on Kusama.

The protocol’s modular structure lets fungible assets start liquidity using the Automated Market Maker (AMM) approach that best fits their needs. The initial release includes a Snek Swap (XYK) pool implementation. With these pools, users can trade tokens by buying or selling, or join as liquidity providers to receive rewards generated from ongoing trades.

For the next stage, Basilisk is working on releasing a set of new capabilities. Liquidity Mining (LM) will enable the Basilisk Protocol to encourage liquidity supply in chosen pools, using BSX tokens drawn from the Basilisk Treasury. In addition, Liquidity Bootstrapping Pools (LBP) will help new crypto assets establish liquidity in a fair and economically efficient way.