The Challenge: Why Bluefin Needed to Evolve. [Article 1]
Introduction: Bluefin, a decentralized, high-performance order-book-based exchange focused on perpetual derivatives, set out to revolutionize the trading landscape with the launch of Bluefin Classic on the Arbitrum network. Designed to provide speed, efficiency, and advanced trading capabilities, Bluefin Classic aimed to bring an optimal trading experience to its users. However, despite its initial success, Bluefin faced a significant challenge that would force its team to rethink their entire strategy.
Background on Bluefin Classic: When Bluefin Classic launched, it promised to be a game-changer in the DeFi space. As a platform focused on perpetual derivative trading, it was built to deliver a fast, seamless experience in a decentralized environment. The early months saw encouraging growth and user engagement, but as the platform scaled, certain limitations became apparent.
Identifying the Problem: Bluefin Classic was built on the Arbitrum network, a layer-2 solution that aimed to offer fast and low-cost transactions. However, as the platform grew, so did the volume of transactions. The increase in network activity exposed the limitations of Bluefin Classic. While traditional financial platforms execute trades in 30 milliseconds, Bluefin Classic struggled to match this standard. The performance dropped noticeably during peak times, leading to transaction lags and an inconsistent user experience.
The lag in transaction speeds and occasional delays became a concern for the Bluefin team. For a platform aspiring to be the preferred destination for high-frequency traders and institutional players, even minor delays could result in significant friction, reduced user satisfaction, and potential loss of business.
User Experience Issues: Beyond performance, Bluefin Classic also faced challenges with user onboarding. The typical process for joining a DeFi platform required users to install a wallet, securely store their mnemonic phrase, and navigate a complex interface. This onboarding friction was a barrier to entry for many potential users, further hindering growth.
Decision to Pivot: Realizing that the existing infrastructure was inadequate for achieving their vision, Bluefin’s founders began exploring alternative networks. They needed a blockchain that could handle a higher transaction throughput, reduce costs, and provide a smoother user experience without compromising on decentralization. The team started looking at Sui, a new blockchain network showing promise with innovative technology and impressive performance metrics.
Conclusion: With the need for faster speeds, improved user experience, and a more scalable solution, Bluefin began considering a shift to Sui. In the next article, we’ll dive deeper into why Sui was chosen as the solution and how its technology offered a pathway to achieving Bluefin’s ambitious goals.
