MCDEX Partners Integrates Band Protocol to Secure Decentralized Perpetual Markets on Layer-2
MCDEX, a leading decentralized financial protocol for perpetual markets and futures, is integrating Band Protocol to support the upcoming launch of MCDEX V3. With a strategic partnership in place, Band Protocol has worked with MCDEX to implement a highly robust and reliable price feed to secure all perpetual markets on V3 starting with BTC, ETH, S&P500 and DPI oracles that update on a 0.1% deviation basis.
Band Protocol will be integrated on MCDEX V3’s Beta2 Testnet based on Arbitrum — a Layer 2 platform that makes smart contracts scalable, fast, and private.
“To sufficiently secure a decentralized protocol for perpetual swaps, a high-performance and rapidly updating decentralized oracle is required to track the fair market price of underlying assets at high frequency. We are thrilled to work with Band Protocol which satisfies all our meticulous needs for the launch of MCDEX V3 and by integrating their oracles on our Beta2 Testnet — we are excited to showcase the superior security, scalability and advantages provided by Band Protocol to the MCB community.”
Jean Miao, Co-Founder of MCDEX
MCDEX is a fully decentralized perpetual swap exchange providing users to long or short assets at leverage without exposure to any other cryptocurrencies other than the underlying asset. Perpetual contracts are financial derivatives similar to a futures contract, but without an expiry date. To identify the difference to a traditional futures contract where prices converge towards an underlying asset’s spot market price, or lower in the event of physical settlement at an expiration date — perpetual contracts offer a leveraged instrument that empower users to take a long or short position without future settlement.
MCDEX V3 allows anyone to permissionlessly create any perpetual market for an asset by setting an underlying asset and risk parameters. This means that operators, creators of new perpetual markets on MCDEX, will have the ability to leverage the full extent of Band Protocol oracles, scalability properties to adequately support perpetual markets, and the significant data availability that follows through the Band Standard Dataset which supports over 150+ feeds for crypto assets, foreign exchange and commodities. In addition, operators will be able to query other oracle scripts for traditional equities and stock or even create a custom decentralized oracle on BandChain to support their needs with ease.
Working with MCDEX, Band Protocol is empowering the MCB community to support more markets for crypto assets, synthetic assets and even long tail assets. We are making perpetual markets accessible to everyone in the world, bringing in a wave of adoption directly into the world of decentralized finance.
Stay tuned for more updates on the MCDEX V3 Beta2 Testnet where you’ll be able to interact and trade on the markets yourself!
Mai Protocol V3 designed by MCDEX is an AMM-based decentralized perpetual swap protocol. Perpetual swap is one of the most popular derivatives that has no expiration date, supports margin trading, and has its price soft pegged to index price. We have designed an AMM specially for perpetual trading and it is able to reach 1000x Uniswap’s constant product formula capital efficiency Furthermore, anyone can create their own perpetual market with the price feed of the underlying asset and choose any ERC20 as collateral. Especially, certain real-world markets are encouraged and will potentially be incentivized on MCDEX V3. Please check out the BigMac Program for specific info. At last, anyone can trade perpetual swaps permissionlessly. Traders’ assets are in the smart contract in a noncustodial way and the process of trading is conducted on chain completely.
About Band Protocol
Band Protocol is a cross-chain data oracle platform that aggregates and connects real-world data and APIs to smart contracts. Band Protocol enables smart contract applications such as DeFi, prediction markets, and games to be built on-chain without relying on the single point of failure of a centralized oracle. Band Protocol is backed by a strong network of stakeholders including Sequoia Capital, one of the top venture capital firms in the world, and the leading cryptocurrency exchange, Binance.