The State of Decentralized Derivatives Trading: Research #04
It’s time for our bi-weekly market research! In this series, RiskSwap overviews the progress of decentralized derivatives trading protocols and shares the most important insights with our community.
In early November, many futures and options DEXes gathered at the Solana’s event in Lisbon, and we had a chance to meet the Serum, Pyth Network and other teams there to discuss the potential of the market and new developments. Today, we will share with you the updates from:
Mango has updated their market maker incentivization program and started offering larger rewards to users who put the best orders e.g. higher bids and lower asks. The team also added the Spanish and Chinese languages to their GUI and allowed for ADA perpetual contract trading.
Additionally, Mango launched a dashboard for tracking the core protocol metrics. According to this dashboard, over 55% of daily trading volumes are associated with the SOL-PERP, and roughly 35% are BTC-PERP trades. Last but not least, Mango released their WebSocket and REST API that was developed by an independent developer who got a grant from the team.
The Serum team launched their liquidity mining program and will distribute $100 mln in SRM to AMMs that operate through Serum’s order book.
dYdX summed up the results for epoch 2, and the commission income almost doubled compared to epoch 1 with 8 addresses receiving market-making awards. Due to the decrease in the threshold of the minimum share of trading volumes from 5% to 1% of the total in the next era, 18 addresses will be able to receive a market maker incentive.
The team also released a new perpetual product — ZRX-PERP. As of early November, the dYdX platform is actively used by 11,175 people.
Zeta Markets launched derivatives futures trading on devnet based on the Serum order book. The first derivative open for testing is SOL.
MCDEX introduced a gas rebate program and reduced funding. MCDEX will receive funds for the Liquidity Incentive from Binance, and their TVL is likely to rise after the introduction of the liquidity program.
What’s new on RiskSwap?
RiskSwap is currently running two product initiatives for spot traders. Users can save 20% from fees for trading on RiskSwap spot platform and have a chance to win $100 in SOL if they share their user experience feedback on Twitter. The team has also revealed its development plans for the upcoming months. RiskSwap plans to expand the perpetuals alpha functionality by adding an order book and multiple markets. Additionally, the team is working on implementing a liquidation engine, funding rates, and fees to the platform. All this will be a part of the mainnet version functionality.