Serum is a protocol for decentralized exchanges that brings unprecedented speed and low transaction costs to decentralized finance. It is built on Solana and is completely permissionless. Serum is a decentralized exchange (DEX) and ecosystem that brings unprecedented speed and low transaction costs to decentralized finance (DeFi). (DeFi).
Serum Coin is the only high-performant DEX designed around a fully on-chain central limit order book and matching engine. Ecosystem partners can compose with Serum’s on-chain orderbook to share liquidity and power their trading features for institutional and retail users.
In light of the popularity of DeFi and the growth of DEXes on Ethereum, users and developers are limited by high gas costs and slow transactions. Serum aims to resolve these traditional problems of DeFi, as well as issues of centralization, low capital efficiency, and liquidity segmentation.
The SRM utility and governance token enables users to receive discounts on protocol fees and voting rights; 100% of exchange fees flow back to SRM via buy-and-burn, staking rewards, and ecosystem grants.
Serum is an open source project created by a consortium of partners including FTX, Alameda Research, and the Solana Foundation.
Its development is currently supported by the Serum Foundation, backed by a group of experts in cryptocurrency, trading and decentralized finance. The project borrows much of its design and thought leadership from a wide number of firms in the cryptocurrency and finance industries.
What Makes SRM Unique?
Serum Coin DEX’s on-chain central limit order book and matching engine provides liquidity and price-time-priority matching to traders and composing projects. Users benefit from this exchange model through the ability to choose the price, size and direction of their trades. Composing projects benefit from Serum’s existing architecture, bootstrapped liquidity, and matching service.
Speed and Usability
Above all else, DeFi is slow and expensive. It costs dollars to do a trade, and minutes for it to clear. This is fine for some use cases–but many customers prefer the fast, cheap execution of centralized exchanges. It’s hard to stare at your Metamask wallet waiting for a trade to be confirmed without missing centralized exchanges.
When you trace all the way through, most DeFi protocols bottom out in a centralized oracle–often in the most crucial step. Sometimes, this is a liquidation price oracle pointing to centralized exchange APIs. Other times it’s a council of token holders. Sometimes it’s the team of the protocol itself. There’s a further problem, too–most decentralizing protocols are computationally intensive. Fitting them into the ETH blockchain in a way that is cost efficient and fast has largely eluded the space.
That’s not to say that centralization is always bad! USDT, USDC, and similar tokens are great projects which have revolutionized the entire crypto industry. They power much of the volume, and if you want something that can be turned into a dollar 24/7 that’s the only game in town–and probably always will be. Because fundamentally dollar bills aren’t on the blockchain, they’re in bank accounts.
Banks aren’t on the blockchain, and neither are physical dollar bills. So how do you build a stablecoin that is always worth a dollar, but also doesn’t rely on a bank account not getting shut down?
How Is the Serum Network Secured?
Serum is built on Solana and is completely permissionless. Solana is a web-scale blockchain that can reach 50,000 transactions per second and 400ms block times. This is achieved through a verifiable delay function, known as SHA 256 hash chain. Serum’s design is meant to ensure that DeFi can compete against centralized services.
Where Can You Buy Serum (SRM)?
Serum (SRM) can be bought and sold on a number of exchanges, including the following
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One of Coinworldstory's longest-tenured contributors, and now one of our news,ico,hyip editors, Verna has authored over 6900+ stories for the site. When not writing or editing, He likes to play basketball, play guitar or visit remote places. Verna, to his regret, holds a very small amount of digital currencies.