Alvin Lang
February 10, 2025 05:06
The decentralized financial sector has revolutionised the exchange model with the rise in permanent DEXs such as high lipids and bluefins, and witnessed transformative growth with improved user experience.
According to Coinshares, since the launch of UNISWAP in 2018, the Decentralized Finance (DEFI) sector has undergone significant transformation since UNISWAP was launched in 2018. While centralized exchanges were initially preferred for liquidity and user-friendly interfaces, concerns about centralized management and security vulnerabilities drive the demand for decentralized alternatives.
Amms’ challenges
Despite its innovative approach, AMM-based exchanges have faced some criticism, including non-permanent losses, high slips, and lack of advanced trading options such as limited orders and leverage. These limitations have created opportunities for the emergence of permanent distributed exchanges (Perp Dexes) aimed at addressing these gaps, particularly in exploited transactions.
Persistent dex rise
Permanent futures contracts have gained popularity in centralized exchanges due to their flexibility and leverage capabilities. However, their adoption at Defi was initially hampered by issues of fluidity and incubation period. In 2024 the landscape began to change, with permanent DEX experiencing meteor rise. Platforms such as Solana-based Jupiter and Drift saw an explosive growth in trading volume, driven by memecoin trading and forecast markets.
High lipid success
High lipids have emerged when they stand out in the permanent DEX space, leveraging a high-performance layer 1 chain to provide a robust trading solution. Its ecosystem includes tools such as Hypurrfun and Hypurrscan, improving user experiences, and driving adoption. Hyperliquid’s strategic focus, focusing on neutrality and decentralization, reflects the spirit of Bitcoin and contributes to a significant increase in its volume.
Bluefin’s Growth Trajectory
Another promising PERP DEX, Bluefin, shows adaptability by moving from polka dots to arbitrum and ultimately to SUI. Utilizing SUI’s mobile-based technology, Bluefin aims to provide a fast and efficient trading experience. Despite facing challenges related to SUI evaluation and adoption, the focus on improving the user experience of Bluefin is positioned for potential growth.
DEX Development Recommendations
For sustainable growth, DEXS recommends avoid market production in the market as it can lead to reputational damage if the strategy fails. Instead, encouraging professional market makers through transparent mechanisms can improve liquidity and trading experience. Additionally, by enabling permitted transactions, it supports price discovery for new tokens and encourages community engagement and innovation.
Conclusion
The evolution of Defi Sector is characterized by the rise of enduring Dexs, restructuring the trading environment with innovative solutions. As platforms like Hyperliquid and Bluefin continue to drive growth, they focus on addressing unique challenges, promoting improved user experiences, and promoting sustainable development through strategic innovation .
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