In the wake of the FTX implosion, the industry is seeing large user migration from centralized finance to decentralized finance (DeFi). How can your business capitalize on this pivotal moment in crypto and move on stronger?
What’s behind the demand for DeFi?
Centralized exchanges (CEXes) are seeing record outflows of funds. Spurred on by the fall of FTX — one of the biggest centralized custodians and exchanges in the space — and fears that other CEXes may follow suit, CEX users are mass withdrawing their funds at an unprecedented rate. Their destination: DeFi.
According to research by Messari, trading volume across all CEXes dropped to $2.82 billion on November 12, a stark drop from $13.71 billion recorded on November 8. Compare this to DEXes in the same period: Trading volume across all DEXes reached $11.93 billion on November 10, up from $2.92 billion recorded on November 7. It is apparent that user confidence is low. Many CEX traders are now discovering self-custody of funds via DEXes.
Other data analytics platforms like Nansen and Token Terminal support this statistic. Nansen reported that many DeFi protocols have seen double-digit percentage growth in users and transactions in the seven days after FTX’s collapse. Similarly, on-chain data and protocol revenue have been positive for decentralized exchanges (DEX), according to Token Terminal.
Popularity of decentralized perpetuals
Decentralized perpetual products are in demand too. According to Token Terminal, the daily trading volume of tracked perpetual exchanges reached $5 billion on November 8, the highest since crypto’s black swan event (read: Terra crash) in May this year. In the 7-day period from November 8 to November 15, ApolloX DEX perpetual trading volume also increased 223%.
To hedge against the dramatic downfall of FTT, FTX’s native token, and reduce losses from funds stuck on the now-bankrupt exchange, many turned to perpetuals to short FTT. But perpetuals have long been a hedge against market volatility — especially so in bear markets. Now that user sentiment is shifting to DeFi, decentralized derivatives will surge in growth.
If you’re looking for a solution that can combine both decentralization and derivatives, ApolloX DEX Engine is your answer. Enjoy a high capacity matching engine, world-class asset management and robust security infrastructure, decentralized.
What is the ApolloX DEX Engine?
The ApolloX DEX Engine is a one-stop decentralized derivatives trading solution for any business looking to launch their own derivatives DEX. As of November 2022, over 20 partners have onboarded.
With ApolloX’s core offering of perpetual futures, broker partners leverage ApolloX's stable trading infrastructure, deep liquidity and market depth to introduce derivatives trading to their users, while earning commission on transaction fees.
Decentralized and secure
Unlike common DEXes which utilize the Automated Market Maker model (AMM), ApolloX DEX Engine adopts the order book model to support futures trading.
ApolloX’s main architecture is its “off-chain matching + on-chain settlement" model. Transaction matching is done off-chain in the cloud while fund settlement and custody are done on-chain, providing higher throughput and robust security while ensuring traders have self-custody of their funds.
Native DEX experience
Your DEX may leverage on ApolloX’s architecture to offer perpetual trading, but ApolloX DEX Engine promises minimal disruption to the trading experience. Partners enjoy a fully customizable frontend interface and unique domain name for consistent branding.
Monetize traffic for additional revenue
Submit a successful application to ApolloX DEX Engine and onboard for free! What’s more, open up an additional revenue channel by earning commission on transaction fees.
Partners share a guaranteed minimum 50% in profits with ApolloX. Commission can go up to 70%. The higher your platform’s trading volume, the higher your profits.
ApolloX DEX Engine Profit Sharing Model
Set up your DEX in a few days
Whether your business wants to expand into the derivatives market, cater to both beginner and pro traders in your user base, or even add more use cases to your native token (ask us about this!); ApolloX DEX Engine promises a fuss-free, ready-to-deploy experience. Furthermore, you can expect marketing and customer support from ApolloX to ensure a smooth onboarding.
3 Simple Steps
1. Fill in the application form and submit
Our dedicated support team will review each submitted application with care. Successful applicants will be guided to proceed to the next step.
2. Create your own domain name
Before you start, help your users easily identify you by creating your branded domain name.
3. Download our proprietary SDK and customize it according to your preferences
Customize the ApolloX DEX Engine SDK to better cater to your business needs. After mandatory testing, prepare for launch.