MilkySwap

MilkySwap is a decentralized exchange on the Milkomeda C1 sidechain, which gives Cardano an EVM-compatible environment so Ethereum-style smart contracts can serve ADA holders directly. The protocol uses a constant-product AMM curve for volatile pairs and a Curve-like low-slippage pricing model for stablecoin pairs, charging 0.3% per trade with most of it going to liquidity providers. Assets deposited into pools mint LP tokens, staking LPs yields MILKY, and locking MILKY converts it into the governance token CREAMY, forming a three-layer structure of liquidity, yield farming, and governance; the protocol has run since 2022 with trading, market making, and incentives priced in MILKY.

Within Cardano DeFi narratives, MilkySwap positions itself as a sidechain trading hub connecting Ethereum liquidity with ADA users. In May 2026 several market trackers showed its active pairs and trading volume at zero, with pool liquidity largely withdrawn.