Vertex, a decentralized exchange (DEX) for digital assets, has recently launched on Arbitrum (ARB), a popular network built on the Ethereum blockchain. The new platform offers an alternative venue for spot and derivatives trading of digital assets.
Vertex is a decentralized, self-custodial exchange that combines an off-chain order book placed on top of an on-chain automated market maker. The team behind Vertex has been working on the protocol for about a year. Co-founder Darius Tabatabai said the platform has already drawn interest from institutional and retail traders using Arbitrum.
“We built all the smart contracting ourselves, so we’re not forking anything,” Tabatabai said in an interview . “The [automated market maker] is quite conventional, but we have a bunch of tech under the surface that enables you to do leveraged AMMs, looping, and an inbuilt money market. So you can think of it as a combination of Aave, dYdX, and Uniswap with an order book.”
Vertex operates on a test network with bases in Singapore and the Cayman Islands. The platform counts Jane Street, Dexterity Capital, Hudson River Trading, GSR, Collab+Currency, JST Capital, Big Brain, and Lunatic Capital among its early backers.
The Fast & Secure Decentralized Exchange On Arbitrum
The collapse of FTX and other centralized trading platform blowups last year has fueled a shift toward decentralized exchanges. This shift also involves self-custody, where individuals have complete control over their own assets.
Arbitrum, an Ethereum layer 2 scaling solution, has witnessed remarkable expansion over the past few months. The platform has become the fastest-growing blockchain in terms of total value locked, and it has surpassed Ethereum’s daily transaction volume.
Vertex was built on Arbitrum and uses an off-chain sequencer for the order book. This allows the exchange to perform 10,000 to 15,000 transactions per second and match orders in 10 to 30 milliseconds. This speed rivals leading centralized venues and surpasses that of other decentralized exchanges.
Vertex is revolutionizing the world of digital asset trading by providing traders with a decentralized and self-custodial venue. The platform has an innovative approach to off-chain sequencing.
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This allows it to compete with leading centralized exchanges. At the same time, it maintains the privacy and security of decentralized platforms. The result is a platform that offers both speed and efficiency.