This is BIGGER than Binance (Orderly Network)
Description
Let's dive into Orderly Network with co-founder and CEO, Ran Yi. Orderly aims to surpass Binance's liquidity by creating a decentralized, permissionless ecosystem that aggregates liquidity from variou...
AI Analysis
Orderly Network is on an ambitious mission to revolutionize liquidity in the crypto and traditional finance spaces, aiming to surpass even the behemoth Binance. They're building a decentralized, permissionless ecosystem that acts like an "Avengers" assembly of liquidity, aggregating it from various sources, whether they're market makers, traders, or even other exchanges and brokers. This innovative approach, combined with smart Web3 tokenomics, seeks to incentivize the entire ecosystem and ultimately disrupt how financial markets operate, by offering superior liquidity and transparency on the blockchain.
Here's a breakdown of what makes Orderly Network so intriguing:
* The Grand Vision: Beating Binance on Liquidity
Orderly Network's main goal is to outcompete Binance, which currently holds a massive 50% market share in crypto trading due to its deep liquidity. The vision is to achieve even better liquidity, not just for crypto assets but for any* asset, and do it in a permissionless, decentralized way.
* The core belief is that DeFi's inherent transparency, permissionlessness, and interoperability will allow various players – market makers, traders, and all sorts of brokers and trading tools – to collectively amass far more liquidity than a single centralized entity ever could.
* This is envisioned as a decentralized aggregation of all major liquidity sources, allowing anyone to contribute, which is something entirely new and not seen in traditional finance.
* Web3 tokenomics will be used to incentivize the entire ecosystem, ensuring everyone involved has a stake and a voice in the protocol's governance.
* While currently focused on crypto users, the long-term goal is to extend this infrastructure to traditional finance users as they increasingly adopt blockchain technology, providing the "best infrastructure and liquidity" for institutional players like BlackRock and Nomura. This "DeFi against DeFi" concept, which also brings in TradFi, is a truly interesting and ambitious path.
* How Orderly Integrates with Exchanges and Brokers
* Orderly isn't just a concept; it's already live and in action. Several exchanges, like BTSC and Ascendex, and brokers, such as WuFi Pro (from Wu), are building their decentralized products directly on top of Orderly's infrastructure.
* Think of Orderly like the Chicago Mercantile Exchange (CME) in traditional finance. It operates largely "behind the scenes," providing the core liquidity and settlement layer. Brokers and trading UIs plug into Orderly, using its liquidity to serve their traders, often indicating "powered by Orderly."
* The beauty of this decentralized approach is its transparency: Orderly's SDK (Software Development Kit) is open-sourced, and all assets and code reside in smart contracts. Transactions and trades are meticulously tracked on Orderly's own chain, providing full transparency for anyone building on or using the network.
* Orderly is already handling significant volumes, ranging from $300 million to a billion dollars in daily trading volume, and consistently ranks among the top five in perpetual volumes in DeFi.
* The Revenue Model: It's Already Making Money
* Orderly's revenue model is straightforward: it's based on trading fees, similar to a centralized exchange like Binance. For every trade executed through an Orderly-powered broker, a single transaction fee is charged, which is then split between the broker and Orderly.
* Orderly currently generates between $80,000 and $200,000 in total fees per day, with Orderly taking about 40% of that (roughly $40,000 to $100,000 daily).
* This isn't just theoretical; the numbers are live and publicly viewable on their Dune dashboard. The brokers building on Orderly have already collectively earned over $6 million in revenues within six months, while Orderly itself has generated around $5 million, demonstrating a robust and functioning revenue stream.
* The Airdrop and Community Engagement: A Strategic Move
* Orderly is engaging its community through a significant airdrop, a strategic move to foster a large, decentralized, and community-owned ecosystem.
* They have a "Merits" points program where users earn points by trading on any of the 12 brokers built on Orderly. All the details are available on their website, orderly.network.
* The airdrop is designed to distribute future tokens, which will grant holders a share of the protocol's revenues and governance rights, giving them a direct say in how the protocol evolves.
A key insight is that Orderly is launching its community initiative after* having a fully working and revenue-generating product, which is a stark contrast to many projects that seek community engagement before delivering a functional product.
* This setup presents a "double farming" opportunity for airdrop enthusiasts: by trading on one of the pre-TGE (Token Generation Event) brokers (like Sharp AI, Vui, or LogX), users can earn both the broker's points and Orderly's Merits.
* Even better, there's a "triple farming" potential! Orderly is the second-largest user of Layer Zero, a major interoperability project, accounting for about 25% of Layer Zero's total volume. This means interacting with Orderly-powered brokers could potentially earn Layer Zero points, broker points, and Orderly Merits simultaneously.
* Getting Started and the Ultimate End Goal
* For new users, jumping in is straightforward: simply go to app.orderly.network, connect your wallet, and you can see your accumulated Merits and a list of all available brokers to trade on. Your wallet will track all your Merits earned across different brokers.
The ultimate "end game" for Orderly is to build a truly useful, decentralized, and community-owned platform that provides liquidity for any* asset. While currently focused on perpetuals, they plan to expand to spots, options, and eventually "real-world assets."
* The long-term vision is to aggregate such immense liquidity that traditional financial institutions, even giants like BlackRock, will choose Orderly over existing centralized systems for both crypto and real-world assets. The belief is that blockchain technology can ultimately replace centralized clearinghouses and exchanges in traditional finance, marking a monumental shift.
Transcript
Hey guys and welcome back to Box Mining. Today I'm super excited to be here, Ren. Hey Ren, how's it going? Hey, how are you? Good to be here. And why I'm excited is because they're doing one of the biggest airdrops. They're S tier on our list. And we need to find out a little bit more about their project. Because what they are doing really baffled my mind. I think it baffles a lot of people, right? It's one of those big goals. What's your formal goal? Yeah, so on our Twitter is future of Omnich...