The First Derivatives Exchange to Support Orderbook-based Perpetual Futures and Powers on Solana Is Launching this Month
SAN FRANCISCO, CA / ACCESSWIRE / January 28, 2022 /01 Exchange, the first fully-decentralized derivatives exchange to support orderbook-based power perpetuals and perpetual futures on Solana, today announced it has raised $2.2M in a series seed round co-led by Alameda Research and Multicoin Capital with participation from Solana Ventures, Ledger Prime, Pattern Research, Finlink Capital, Inscribed Ventures, Smile Asia, and Dropout Syndicate. The project is also supported by Chris McCann and Edith Yeung, general partners at Race Capital and early seed investor in FTX and Solana, Alfred Cheung, also general partner at Race Capital and co-founder of BEA Systems, and Lily Liu, co-founder of Earn.com and advisor to the Solana Foundation. The project will use the funds to create a unified venue to trade perpetual futures and powered perpetuals on Solana for the first time.
01 Exchange is a full-suite derivatives exchange, offering everything a centralized exchange offers, and more, through a fully decentralized protocol. The exchange features an on-chain limit orderbook through a deep integration with Project Serum, cross-collateralization (i.e. the ability to collateralize multiple positions using different tokens), powerful cross-margining (i.e. sharing leverage across all positions under a single account), and yield-earning deposits, all without sacrificing on decentralization.
“The next dFTX will take everything a CEX offers, and plug it into a fully decentralized infrastructure. For that reason, we’re very excited to partner with 01 Exchange and help them build the most powerful, liquid, and feature rich derivatives DEX for traders,” said Kyle Samani, Managing Partner, Multicoin Capital.
Traders will also be able to trade perpetual futures and power perpetuals, an entirely new asset class, first introduced by Dave White and Dan Robinson, from Paradigm. While the article makes mention of “squeeth” (squared ETH), 01 Exchange will also be implementing “squol,” squared SOL, among many other underlying assets.
Power perpetuals give traders global option-like exposure without the effort, risk, or expense of rolling their positions, selecting strikes, or selecting expiries. On top of that, this product allows traders to hedge their impermanent loss in liquidity pools as well as any option which uses the same asset no matter the strike or expiry.
The market for centralized options is mature and flourishing. There is currently more than $14 billion of aggregated open interest on BTC options and over $6 billion of open interest on ETH options across popular centralized trading venues, such as Deribit, LedgerX, CME, Okex, and Bit.com. 01 Exchange brings these traders and this exposure to a decentralized venue for the first time.
“Power perpetuals are going to disrupt the derivatives industry, and we can’t see it better implemented than on a fully decentralized orderbook model like 01 Exchange’s,” said Brian Lee, Partner, Alameda Research.
In addition to trading derivatives, traders can also earn yield on deposits automatically while collateralizing positions. Borrowers can utilize 01 Exchange’s large collateral pool to take on loans, which generates passive yield for depositors. Both traders and yield-seekers can earn yield through a variety of pools and products within the exchange.
Unlike other DEXs that rely on centralized servers or AMM or vAMM models to circumvent on-chain transaction limits, 01 Exchange is able to compose directly over Serum’s fully on-chain orderbook and build a limit orderbook trading experience that does not compromise on functionality or decentralization.
“01 Exchange will be the first DEX to offer power perps on a true limit orderbook, and the first to offer cross-margined power perps and perpetual futures on a single venue,” said Stratos, co-founder, 01 Exchange. “The ultimate vision outlined by the team is to build a trading experience that doesn’t compromise on decentralization all while offering the same functionalities as any centralized exchange. The end game is to have a venue that caters to and aligns incentives for both retail and institutional traders alike.”
01 is preparing to launch Mainnet on January 27th, this month, and plans to hold a trading competition soon after with some of the largest crypto and trading partners and firms. Since inception, they’ve partnered with large protocols such as Serum, Atrix, Pyth, Friktion, Chest, and Wormhole and were a DeFi Alliance supported protocol.
01 is launching to Mainnet on January 27th.
To learn more about 01 Exchange, please visit:
01 Exchange Website: https://01.xyz/
01 Exchange Twitter: https://twitter.com/01_exchange
01 Exchange Discord: https://discord.com/invite/01exchange
About 01 Exchange
01 Exchange is a fully decentralized orderbook-based derivatives exchange on Solana, supporting perpetual futures and power perpetuals. It features an on-chain limit orderbook through a deep integration with Project Serum, cross-collateralization (i.e. the ability to collateralize multiple positions using different tokens), powerful cross-margining (i.e. sharing leverage across all positions under a single account), and yield-earning deposits, all without sacrificing on decentralization. To learn more about 01 Exchange, please visit https://01.xyz/
About Alameda Research
Alameda Research was founded in October 2017. We manage over $1 billion in digital assets and trade $1-10 billion per day across thousands of products: all major coins and altcoins, as well as their derivatives. We have a full-scale global operation with the ability to trade on all major exchanges and markets.
About Multicoin Capital
Multicoin Capital is a thesis-driven investment firm that invests in cryptocurrencies, tokens, and blockchain companies. Crypto networks and companies will create trillions of dollars of value over the next decade. But investing in tokens is fundamentally different than investing in companies. New tools, heuristics, and security measures are needed to responsibly invest in this ecosystem. We leverage our deep understanding of blockchain technology and crypto markets to deliver exceptional returns. For more information, visit: https://multicoin.capital.
SOURCE: 01 Exchange
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