💡PriveX On-Chain Solution

Blockchain technology offers a compelling solution: permissionless, trustless, and self-custodial financial transactions. However, the current landscape of on-chain derivatives exchanges falls short in several key areas:

• Liquidity depth

• Fee competitiveness

• Execution speed

• Overall user experience

As a result, only 1-2% of all crypto futures are currently traded on-chain. This scenario mirrors the early days of DeFi summer (2020) before innovations like Uniswap V2 and SushiSwap catalyzed widespread on-chain adoption for spot trading. PriveX: Catalyzing On-Chain Derivatives Adoption

PriveX aims to bridge this gap, facilitating the migration of crypto derivatives trading to decentralized platforms. Our approach focuses on two critical areas:

1. Liquidity and Transaction Efficiency

• Innovative trading architecture enabling CEX-like execution on-chain

• Competitive fee structure to rival centralized alternatives

1. User Experience Transformation

• Streamlined account abstraction to simplify onboarding

• Intuitive gas management for seamless transactions

• Integrated fiat on/off ramps for easy access

• One-click trading to match CEX convenience

By addressing these pain points, PriveX is poised to overcome the hurdles that have hindered

A New Paradigm in On-Chain Derivatives PriveX addresses these challenges with its innovative intent-based architecture:

1. Efficient Liquidity Utilization:

• Just-in-Time (JIT) liquidity model reduces capital inefficiencies

• Allows for deeper liquidity without fragmentation

1. Enhanced Price Discovery:

• Intent-based system enables more accurate risk pricing

• Reduces reliance on external oracles

1. Competitive Costs:

• Efficient liquidity model allows for lower fees

• Better alignment of incentives between traders, LPs, and stakeholders

1. Expanded Asset Support:

• Ability to list a wider range of assets, including more volatile ones

• Better risk management through intent-based trading PriveX Order Flow: A Step-by-Step Breakdown

  

1. Intent Expression

• Trader inputs their desired trade details (e.g., long 1 BTC at 10x leverage)

1. Real-Time Quote Generation

• Solvers (market makers) provide offers with specific conditions (price, slippage, fees, funding rates, collateral)

• No capital commitment at this stage

1. Instant Best Quote Display

• PriveX automatically displays the best available quote to the trader

• Eliminates the need for manual quote comparison

*Note: Steps 1-3 occur off-chain through the PriveX platform

1. Trade Initiation

• Trader sends a "Request to Trade" to the chosen solver

• Trader's required collateral is locked

1. Solver Acceptance

• Solver reviews the request and accepts by depositing equal collateral

1. Bilateral Agreement Formation

• A symmetrical contract is created between solver and trader

• PnL obligations are based on price movements

• Agreement persists until position closure or liquidation

*Note: Steps 4-6 happen on-chain, where the quotation and bilateral agreement are recorded

1. Solver Risk Management

• Solver can hedge position exposure through various means (CEX, DEX, OTC, options, spot holdings)

• Future implementation: Position netting with other solvers

*Note: Step 7 occurs off-chain, managed solely by the solver