OpenOcean’s vision is not only to become a one-stop transaction portal, but also to create a fully aggregated protocol, that is, to aggregate DEX and CEX, support multiple public chains and cross-chain transactions, support more assets, and integrate later Derivatives trading and lending and other functions.
Written by: Karen
Although high gas fees and network congestion have always been a major problem for Ethereum, there is no denying the prosperity of the Ethereum ecosystem. At the same time, the ecological picture on other public chains led by Binance Smart Chain (BSC) and Polkadot is also gaining momentum.
On the other hand, although DEX has obvious advantages in supporting asset richness, asset custody security, anonymity and transparency, the long-term inherent advantages of CEX, such as strong liquidity, high depth and low transaction costs, cannot be shaken in the short to medium term. . In addition, the price information of the same asset between CEX and DEX often faces asymmetry, and users can only passively accept the price.
On the current DEX aggregation track, most platforms only support DEX on a single blockchain network, and do not provide cross-chain asset exchange services, which simply cannot meet the diverse needs of users. Today, what we are going to introduce is OpenOcean, a full aggregation protocol that integrates CEX and multiple blockchain networks at the same time and supports cross-chain aggregation.
OpenOcean team background and product progress
OpenOcean is a fully integrated one-stop trading portal that provides the best price and lowest slippage. It was established in Singapore in December 2019. OpenOcean’s core technical team has more than 10 years of relevant industry experience . Previously, they had held management positions in well-known traditional financial trading platforms, banks, and core business teams of technology giants such as IBM and HP. Team members also have experience in the development of mainstream public chain underlying technologies.
After 10 months of development, OpenOcean launched the first version of the Southern Ocean version in September last year, and later became the first fully integrated cross-chain protocol that supports Ethereum, Binance Smart Chain and Ontology at the same time. Multiple DEXs on the blockchain. In addition, OpenOcean also uses intelligent algorithms and machine learning to find the best price and lowest slippage path for users and supports users to conduct one-stop transactions.
And just early this month, OpenOcean also announced the completion of a strategic round of financing led by Binance . Other investors include leading investment institutions in the industry such as Multicoin Capital, CMS Holdings, Kenetic, LD Capital, and Altonomy.
OpenOcean strategic investor, source: OpenOcean
Thanks to the continuous upgrading and polishing of the product, the number of OpenOcean users and transaction performance have achieved remarkable results in recent months, especially on the Binance Smart Chain . According to data from DappRadar, as of March 15 In the past 30 days, OpenOcean ranks among the top two exchanges in terms of the number of users and transaction volume. The number of users reached nearly 100,000, and more than 270,000 transactions were completed, with a total transaction amount of US$480 million.
OpenOcean’s user number, transaction volume, and transaction count data in the past month, source: DappRadar
What are the advantages of OpenOcean?
Full aggregation: public chain + exchange + cross-chain + trading interface
From the perspective of the product itself, OpenOcean is a fully integrated transaction portal. “Full” is mainly reflected in the variety of blockchain networks supported, the number of aggregated exchanges, cross-chain support, and the variety of wallets that support connections. Support the classic version and professional version of the transaction page and more comprehensive services and other aspects.
Regarding the first two points, OpenOcean currently has aggregated DEX ecosystems from Ethereum, Binance Smart Chain , TRON and Ontology , and will integrate the centralized exchange Binance in the future. At present, users can compare DEX and currency on the trading page. Ann’s spot price. According to the information officially provided by OpenOcean, public chains such as Polkadot and Solana and Ethereum Layer 2 will be supported in the future.
Specifically, OpenOcean has integrated nearly 20 trading platforms. It integrates applications such as Balancer, Curve, Kyber, Mooniswap, SushiSwap, Uniswap, Oasis, etc. on Ethereum, and integrates Acryptos, BakerySwap, JulSwap, etc. on the Binance Smart Chain. Applications such as PancakeSwap and StreeetSwap integrate Justswap and USwap on TRON, InnoSwap and Unifi on the ontology, and also integrate exchanges such as Binance and Coinbase.
OpenOcean aggregated exchange list, source: OpenOcean
Last week, OpenOcean also reached a strategic cooperation with the Polkadot ecological cross-chain DEX agreement Zenlink. OpenOcean will aggregate Zenlink DEX after the Zenlink mainnet is launched, providing users with a convenient trading portal for Polkadot ecological related assets. It is conceivable that with the integration of Zenlink, OpenOcean’s DEX ecosystem on Polkadot is expected to develop rapidly in the short term.
In terms of cross-chain, OpenOcean now supports 4 heterogeneous blockchain cross-chain protocols including Ethereum, Neo, Ontology, and Cosmos-SDK, and will gradually integrate into Bitcoin and more heterogeneous chain protocol support in the future. OpenOcean will continue to support the cross-chain between Binance Smart Chain and Ethereum and other public chains, as well as the cross-chain supporting the Polkadot ecology.
In terms of supporting the types of connected wallets, OpenOcean supports MetaMask, ONTO, Trustwallet, Mathwallet, BitKeep and SafePal on both Ethereum and Binance Smart Chain. In addition, it also supports imToken on Ethereum and Binance Smart Chain. Support BSC Wallet, ONTO, Cyano on the body, and TronLink on TRON.
In addition, to meet the needs of professional traders, in addition to the classic version of the previously announced transaction page, OpenOcean this year launched the Pro Beta version, and opened a center of support for the exchange of money is about security polymerization of spot trading. The Pro Beta version provides a clearer user trading interface, which can help users compare the prices of centralized and decentralized exchanges to capture arbitrage trading opportunities. For funds and professional traders, OpenOcean also provides API interfaces and tailor-made trading interface services to assist investment institutions in formulating trading strategies such as quantitative arbitrage.
In terms of product services, OpenOcean currently supports asset exchange services. Later, it will aggregate centralized derivatives and decentralized derivatives trading platforms to provide derivatives trading services. In addition, OpenOcean will also aggregate lending and insurance products, and implement robo-advisory services to help users participate in more DeFi ecosystems and realize asset management automation processes.
In terms of derivatives trading, cross-market trading strategies for users on the current DEX and CEX require excessive time and cost, and the use of funds is also very inefficient. OpenOcean will further integrate platforms such as Coinbase, Bitfinex, and BitMEX to achieve a cross-market combination margin mechanism.
Features: best price + lowest slippage + zero platform fee
OpenOcean supports multiple public chains, the core advantages of aggregating DEX and CEX, and the combined intelligent routing algorithm, making the assets supported by it more comprehensive, and it is more competitive than other platforms in terms of slippage, transaction costs and prices.
OpenOcean’s intelligent routing algorithm is the D-Star algorithm. The D-Star algorithm is an improvement and optimization based on the Dijkstra algorithm. It can help investors adjust and optimize the initial optimal path in real time when looking for a trading platform. Finally, asset exchange can be carried out at the lowest cost and efficiently.
In short, OpenOcean splits orders and applies intelligent path optimization algorithms to ensure that users get the best price in the market with lower fees and slippage.
It is worth emphasizing that OpenOcean does not charge any additional protocol transaction fees . At the same time, in order to incentivize transactions and protect the interests of users, it will also use the platform token OOE token to subsidize the slippage loss in real time.
In terms of user experience, OpenOcean supports night mode and adds an exchange loss reminder when users trade tokens with poor liquidity.
The value of token OOE
In terms of the token economic model, comprehensive OpenOcean’s previously announced information will be designed based on the following core principles, namely:
- Ensure that the development team has sufficient development budget;
- Fair distribution
- Maintain the governance rights of community developers;
- Tokens will be able to effectively capture product value.
- Tokens are functional , such as acting as gas fees and transaction fees, liquidity mining, and supporting advanced transaction functions.
In addition, OpenOcean also through trade incentives and slippage subsidies, etc., to make up for the loss of impermanence users. Specifically, if the positive slippage when trading on OpenOcean belongs to the user , if it is a negative slippage, OpenOcean will use platform tokens to subsidize the user. It is worth mentioning that OpenOcean revealed that it will also conduct the first round of airdrops to early users in the near future.
OpenOcean’s development roadmap
According to the released development roadmap, OpenOcean will issue platform tokens this month. In the second and third quarters of this year, more exchanges will continue to be aggregated, and the monthly reverse contract (USD-M futures) products of the centralized platform will be added. Yes, monthly positive contracts (Coin-M futures) and decentralized derivatives products will be launched on the centralized platform in the fourth quarter.
In addition, OpenOcean will aggregate centralized derivatives pure options in the first and second quarters of next year and introduce combined margin products. In order to meet the diverse needs of users, loans and insurance products will be aggregated in the second half of next year, and robo-advisory will be implemented in 2023 to further improve the OpenOcean ecosystem.
OpenOcean project roadmap, source: OpenOcean
summary
From the features of aggregating DEX and CEX, supporting multiple public chains and cross-chain transactions, supporting a complete range of asset types, and future derivatives transactions to be integrated, it can be seen that OpenOcean’s vision is not only to become a one-stop trading portal, but also It is a fully aggregated protocol . In addition, the liquidity incentive plan and slippage subsidies it will provide are expected to attract more users.
Whether in terms of product development progress or platform features, OpenOcean has shown the potential to break the current bottleneck of CEX and DEX development. By integrating the liquidity of DEX and CEX, it provides services such as derivatives trading, lending, and robo-advisory. Become a strong competitor in the aggregator track.
