Derion Docs
  • Introduction
    • Leverage
    • Compound
    • Power Perpetuals
    • Auto-Deleveraging
  • Existing Challenges
    • Trader Risks
    • Exchange Risks
    • Perpetuals AMM
  • Why Derion?
    • Game Theory
    • Trading Experience
    • Composability
    • Liquidity Efficiency
  • Protocol Design
    • Features
    • Pricing Curve
    • State Transition
    • Price Oracle
    • Liquidity Provision
    • Liquidity Concentration
    • Funding Rate
    • Maturity
    • Opening Fee
  • Guide
    • Trade
      • Long/Short
      • Swap
      • Providing Liquidity
    • Pool Creation
  • Technical Design
    • Universal Token Router
    • Derivative Tokens
    • Helper Contracts
    • LP Management
  • Contracts
    • Addresses
    • API
  • Applications
    • AMM-LP IL Hedge
    • Initial Future Offering
    • Depeggable Synthetics
  • Tokenomics
    • Liquidity Mining
    • Referral Commission
    • Trader Incentive
    • Rewards
    • Launchpad Partnership
  • Security Audits
  • Whitepaper
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  1. Existing Challenges

Perpetuals AMM

Automated Market Maker

AMM is a set of contracts protocol that allows anyone to create a market of their choice. Uniswap is the first spot AMM by solving the bottleneck problems of the legacy order-book exchange that plague the spot DEXes at that time.

To create an AMM for Perpetuals, Derivable has to solve the following problems:

  • Elimination of unique positions.

  • Smooth derivative pricing curves with an Auto-Deleveraging mechanism.

  • Infinite liquidity with a limited pool reserve.

  • Deterministic fee and rates: interest, funding rate, premium, and protocol fee.

  • Price oracle manipulation resistant.

  • MEV front-running resistant.

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Last updated 1 year ago

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