What is Serum (SRM)?

Serum (SRM) is the world’s first fully on-chain cryptocurrency ecosystem with trustless trading brought to you by Project Serum, in collaboration with various Defi experts and cryptocurrency exchanges. Built on Solana blockchain, Serum is fast and efficient.

Features of Serum

Centralization: DeFi projects that want to deliver data must rely on a centralized oracle. Serum does not.

Cross-Chain support: By providing a platform that allows different blockchains to interact, crosss-chain allows the Serum to break those barriers.

Stablecoin: A stablecoin is always valued at $ 1. But currently USD does not depend on the issuing bank of USD because of fears that the bank may close at any time.

Orderbooks: Automated Market Making is the current DeFi market system. A system with no limit commands. There are many disadvantages to this market, for example you cannot choose a price other than the current market price.

Speed ​​and Usability: Currently, transactions on DeFi are slow and very expensive. Users prefer the fast, cheap implementation of centralized exchanges.

SRM solutions

Serum is a fully functional decentralized exchange with cross-chain transactions at the same speed and fees. Although developed on Solana, it will be able to interact with the Ethereum blockchain. Serum is made up of seven key ingredients that help it deal with the legacy of DeFi:

SRM token: will be fully integrated into Serum, as a utility token. When you own SRM tokens you receive a discount on transaction fees. Along with that, SRM will be purchased and destroyed periodically.

Cross-Chain Swaps: This function allows the safe exchange of property between chains without the need for intermediaries.

Orderbook: a decentralized automated full limit orderbook. Thereby traders have complete control over their orders. Orderbook and fully automatic order matching on-chain.

Full Ethereum and Solana integration: Helping the interaction with the Ethereum ecosystem, ERC-20 tokens and Solana on Serum happen quickly and efficiently.

Cross-chain contracts: Cross-chain contracts are resolved to easily open positions in the DeFi symthetic asset.

SerumBTC: Tokenization model ERC-20 or Solana of BTC.

SerumUSD: Model that creates stablecoin, a stable decentralized currency.

What is SRM token?

Serum (SRM) is designed with the following principles:

  • Value accumulated through the app, not hyperinflation
  • All tokens within the seed sales are locked long term; they are understood to be long-term supporters of the Serum ecosystem, not for instant profits
  • 91.25% of all tokens have a long-term unlock period, reaffirming the project’s commitment to Serum
  • Buy/burn 100% of the net revenue of the platform
  • SRM enables administration capabilities on Serum

Use cases of SRM

All net fees of SRM tokens obtained on Serum will be destroyed periodically. Along with that, the SRM token is used mainly in Serum’s ecosystem for the following purposes:

Governance

Users holding SRM tokens will have the right to vote for the development and direction of the Serum project.

Staking rewards

A requirement to participate in staking is to own at least 11,000,000 SRM tokens.

Serum will dedicate a fund to reward nodes.

Transaction fee

In addition to functions such as administration, staking rewards used to pay transaction fees are a basic function of the SRM token. Transaction fees on Serum collected will be destroyed periodically. Along with that, when you hold the SRM token you will enjoy a discount on transaction fees:

Just holding the SRM will get 1-50% off the fees on the Serum.

Hold 1,000,000 SRM will receive a 60% discount on the charges on the Serum

Team

Serum project is developed and managed by Serum Foundation, which is a group of experts in cryptocurrency, decentralized trading, and finance.

In addition, the DEX Serum can also be seen as a product launched by FTX, a derivative exchange – cryptocurrency trading. Along with that is a list of advisors for the project who are all experienced in blockchain technology development. Notable names in the advisory list can be mentioned are:

  • Robert Leshner – Founder, Compound
  • Calvin Liu – Chief Strategy Officer, Compound
  • Sam Bankman-Fried – CEO, FTX and Alameda Research

Conclusion

Serum is a brand new decentralized exchange in the DeFi ecosystem, founded by the team that re-created FTX exchange. Serum was launch with the mission of proving the boundaries of decentralized exchanges without using Ethereum’s blockchain. Built on the blockchain for Solana, Serum helps solve the problems in centralized exchanges by providing a public, trustless solution.

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