Perp88 V2: The New Standard for Decentralized Leveraged Perpetual Trading
Dear Dragons 🐉,
For many weeks, the Perp88 team has been strategizing on how we can take our protocol to the next level. Today, we are very excited to announce that Perp88 will be developing the V2 of the platform, which will provide significant improvements to the functionalities to all our users whether you’re a trader or a liquidity provider.
The core team is currently finalizing the list of all the features, and has already started working on developing the smart contracts. While we cannot give you the full details of the features yet, we would like to give our community a sneak peek of what they can expect in the all-new and improved V2 of our platform.
TLDR:
- Perp88 is developing Perp88 V2 with significant features improvements
- The team is exploring migrating the protocol to another chain & launching our governance token there
- The timeline for the completion of Perp88 V2 is mid-Q2
About Perp88 V2
Perp88 V2 will be a significant improvement on the current version of Perp88. With this upgrade, users can expect the following:
1. Listing of Additional Asset Classes:
We will be adding many more asset classes to our leveraged trading platform. This includes Forex, equities (US & international), commodities, and potentially other asset classes such as NFT floor price trading or an asset market cap.
We will rely on highly robust price oracles to determine the prices of assets supported by our trading platform, which greatly expands the possibilities of the asset listing on Perp88. Closer to the launch date, we will release an article detailing how our leveraged trading feature works.
2. Significant Improvement on LP Protection
We will be adding additional measures as well as improvement on existing features to help further improve the protection of the LP’s. This includes, but are not limited to the following:
- Improvement on the dynamic funding fee
- Addition of limit on profit for traders
- Implementation of OI limit for each asset class
The premise of a pool-based perpetual DEX with a significant emphasis on revenue sharing mechanism like Perp88 relies on de-risking the LPs from taking on too much one-sided exposure and minimizing potential losses incurred from counter trading to allow them to continually earn on fees. The improvement on the LP protection that will come with Perp88 V2 will help ensure that the premise remains valid for Perp88.
3. Cross-margin Collateral Management
We will be transitioning from the isolated-position collateral management to the cross-margin collateral management model, which allows for the sharing of margin balances across multiple positions.
With this feature, traders will be able manage their portfolio holistically in a much more efficient and convenient manner. Capital efficiency will be enhanced, improving the financing flexibility through the reduction of margin requirements.
4. Maximization of Fees for LP through Efficient Market Making
Perp88 v2 will be the first protocol that will allow users to maximize real yields from our undisclosed method of highly efficient market making. At the moment, we cannot disclose the specific mechanics of this feature, but we believe this will be one of the killer features for Perp88 v2, allowing market makers to rehypothecate their liquidity, essentially equivalent to leveraged market making without additional risk!
If you are a fan of real yields, stay tuned for the updates on this!
5. Multi-collateral Support
Another improvement in Perp88 V2 is its ability to support many more assets as collateral for leveraged trading. In V1, collateral assets are converted into stablecoin when shorting and into the volatile asset that the trader opens a leveraged position on when when longing.
In V2, traders at Perp88 will not be restricted to a single collateral asset or a specific collateral type based on their trade direction. This will allow them to execute some strategies much more effectively i.e. carry-trade strategy.
The specific details on the list of supported collateral will be announced closer to the launch date.
Cross-chain Expansion/Migration
At the moment, we are currently exploring migration or expansion to another chain. Our decision will be influenced by several key factors, including the following:
- Gas cost: Gas cost is a significant consideration for us, as we place a strong emphasis on delivering an exceptional user experience. In order to ensure that our users benefit from low gas fees, we will launch the v2 upgrade on a chain that can execute transactions quickly and efficiently with minimal gas costs.
- User-base: We believe that a DeFi-focused user-base will be instrumental in driving the adoption of Perp88. As such, we are looking for a new chain where the majority of the on-chain users are considered well-versed in DeFi and will appreciate the new features we have developed for Perp88 V2.
- Total Value Lock: The total value lock in a chain’s ecosystem serves as an indicator of the total addressable market (TAM). A higher TAM means that Perp88 will have a greater potential to grow in terms of both protocol TVL and trading activities in the short to medium term.
- Growth Prospect: While the Total Value Lock serves as a proxy for the growth potential in the immediate term, we will also consider the growth prospect of the chain as a key factor in determining the long-term growth potential for Perp88. We are looking for a new homebase with high growth potential to help create a flywheel effect on the adoption of Perp88, as cryptocurrency garners more adoption in the long run.
Token Launch 🪙
Many of our community members have been asking us about the launch of our governance token. As we have mentioned earlier, we would like to first identify the product market fit first and launch the token as an additional enhancement layer to maximize the potential of our protocol.
Since Perp88’s initial launch in November of last year, we have made multiple iterations to improve our product, resulting in a steady increase in both total trading volume and TVL. With the launch of Perp88 V2, which boasts significant product enhancements in many areas, we are confident that we will be able to really offer the best trading experience to our users.
With that said, we are currently exploring launching a token along with the launch of Perp88 V2. Closer to the launch date, we will share with you the token launch plan as well as instructions on ways you can participate to receive an airdrop of the tokens.
Timeline ⏰
Perp88 V2 is currently already in development. Our dev team is currently going full throttle on developing Perp88 V2 and believe we will be able deliver the upgrade, in a full functional manner, by Mid-May.
In the meantime, please follow our socials to remain up to date with the latest developments of Perp88.
