Orbs and SYMMIO are joining forces to facilitate seamless on-chain derivatives trading. This collaboration aims to enhance capital efficiency and leverage deep liquidity in the evolving landscape of blockchain technology.
Orbs’ Commitment to Layer 3 Blockchain Technology
In response to the surging demand for its layer 3 blockchain technology, Orbs has initiated a strategic partnership with SYMMIO. The focus is on bolstering capital efficiency through Orbs’ Liquidity Hub, specifically tailored for Decentralized Exchanges (DEXs). This collaboration also addresses the prevalent challenge of liquidity fragmentation within the decentralized finance (DeFi) sector.
Exploring Use Cases with Layer 3 Technology
Within the framework of this partnership, Orbs and SYMMIO are dedicated to exploring various use cases within the on-chain derivatives market. The utilization of Orbs’ existing layer three technology serves as a foundation for promoting efficient capital deployment.
Introducing Innovative Solutions
A key element of the collaboration is the introduction of an on/offchain communication oracle. Additionally, the partnership aims to develop a bidding system tailored for hedgers, aiming to mitigate risks and harness the advantages offered by derivatives trading.
Tackling the Imbalance in Crypto Trading Volumes
Derivatives constitute a substantial portion of crypto trading volumes on centralized exchanges. However, the dominance of spot trading on-chain has resulted in only $2 billion of the $60 billion DeFi Total Value Locked (TVL) coming from derivatives. Orbs and SYMMIO aspire to rectify this imbalance by supporting on-chain traders in opening leveraged positions and efficiently managing capital while hedging downside risks.
SYMMIO’s Transformative Approach to OTC Derivatives
SYMMIO is revolutionizing bilateral Over-the-Counter (OTC) derivatives by integrating them with intent-based execution. Through its innovative architecture and abundant liquidity, SYMMIO facilitates the issuance and trading of trustless and permissionless derivatives between parties.
Enhancing Liquidity and Addressing On-Chain Limitations
SYMMIO aims to maintain its dominance in the crypto derivatives landscape by addressing the challenge of limited on-chain liquidity. The platform provides a front end where those intending to open positions receive quotes from different hedgers. SYMMIO’s solution mandates the front end to select the optimal quote based on user parameters, establishing on-chain intent before executing a trade. Collateral locking is a prerequisite for parties involved in the trade.
Broadening Access to External Liquidity
SYMMIO’s solution not only brings liquidity to the derivatives market but also enables hedgers to access external liquidity from diverse sources, including centralized exchanges like Binance. This approach is anticipated to elevate liquidity for SYMMIO’s derivatives offerings, enhancing capital efficiency in the process.
Orbs and SYMMIO’s Collective Impact
By collaborating with SYMMIO, Orbs is poised to increase the adoption of its innovative technology. Simultaneously, this alliance aims to create a safer environment for traders seeking exposure to on-chain derivatives.
