This blog post is the first of a series on the core value proposition of Deriverse.

Deriverse is a fully decentralized, permissionless & self-custodial trading platform on Solana, with perps, spot, options, futures & tokenized assets launchpad, optimized for minimizing transaction failures & fees, catering to professional trading firms & qualified retail.

At Deriverse, we are a group of former algorithmic traders, developers & token economics designers. We have been thinking hard about the most pressing challenges in the Solana trading ecosystem and beyond. Our key learning has been that the Solana ecosystem lacks a truly decentralized trading solution. On top of that, the Solana trading ecosystem suffers from a variety of problems:

1. High Transaction Failure Rates: Daily, 35% of transactions on Solana fail, disrupting trading activities and undermining trust in platform reliability. 92% of failed transactions are attributed to traders making >5k transactions/day. In other words, it’s the algorithmic traders who suffer the most.

2. Prohibitive Costs for Asset Listing: Listing new assets on existing platforms like Raydium can cost up to 3 SOL, a barrier for many asset creators. There are 36.4m crypto assets today and we’re on pace to have 100m by the end of 2025. However, many would-be asset creators are priced out of the action.

3. Inefficient Algorithmic Trading: Traditional DEXes require multiple transactions to manage positions, slowing down operations for market makers. Market makers need to make multiple transactions to close old positions and open new ones, i.e. to replace their orders and update their quotes.

4. Excessive Fees for High-Frequency Traders: An average fee of 5 bps on perpetual DEXes significantly impacts the profitability of algorithmic trading operations. High frequency traders have very small margins, often <5bps. This means that DeFi high frequency traders are often struggling to be profitable, as high fees kill their compounded returns over time.

5. Centralized DEXes: Current DEX market leaders are heavily reliant on off-chain infrastructure, such as keeper or liquidator bots, introducing significant regulatory and protocol risks for its users.

We believe these problems can be addressed by the already available Solana technology. This is why we have decided to build Deriverse, the only fully decentralized, permissionless and self-custodial trading platform on Solana. Deriverse leverages the full technological prowess of Solana to address these inefficiencies through four core value propositions:

1. Fully Decentralized: Deriverse is focused on minimizing its reliance on off-chain infrastructure. The protocol is fully onchain, with the orderbook developed in-house and from scratch, with no requirement for off-chain keepers or liquidator bots.

2. One-stop Trading Shop: Deriverse is a comprehensive all-in-one trading ecosystem designed to cater to the needs of all Solana traders and take any asset through its full financial lifecycle, from launching, through spot trading to derivatives.

   1. Launchpad: For new tokens and assets, providing a streamlined, low-cost entry point, with 0 admin role from the founding team.

   2. Spot Trading: Quick and efficient trading with a wide array of assets.

   3. Derivatives: Perpetual swaps, options, and futures: full asset flexibility with advanced financial instruments, all on-chain, under one roof.

3. Optimized for Makers: Deriverse provides lean transactions for efficient management of multiple instruments with one transaction at the lowest cost for market makers. By optimising compute units, Deriverse cuts down the cost of listing new assets by 90% and significantly reduces transaction failure rates.

4. Optimized for Takers: Deriverse introduces a revolutionary subscription model where traders can pay taker fees up-front, reducing trading fees by up to 10x. This model is especially beneficial for high-volume traders seeking to maximize profitability, reducing cost for them, while increasing predictability of revenues for Deriverse.

In the upcoming blog posts in this series, we will elaborate on:

1. Benefits of Deriverse as a fully decentralized trading platform

2. Benefits of Deriverse as a one-stop trading shop

3. How we optimized Deriverse for makers

4. How we optimized Deriverse for takers

Thank you for shaping the future of decentralized derivatives trading with us! Stay tuned for our next article! Please consider giving us a follow on X or join our Discord server.

👉 Follow us on X: https://x.com/deriverse_io

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