Although the XDai-backed Perpetual Protocol handled 179,000 transactions in its first month of operation, it only spent $ 183 on gas fees.
Perpetual Protocol, a DeFi project offering decentralized permanent contracts using the Layer-2 Ethereum scaling solution xDai, emerged as the sixth largest DEX by weekly trading volume after only one month of operation.
Based on Dune Analytics data shared by Perpetual Protocol, DEX’s $ 299 million weekly trading volume placed the project on top of projects such as Synthetix, dYdX, and Kyber, as well as Balancer’s gold.
This milestone was shared in a blog post celebrating the first month of the project, a time when DEX generated more than $ 500 million in total volume and $ 500,000 in transaction fees.
Congratulations to the @perpprotocol, just over one month old and already making some serious moves with trading volume surpasing 500M!
Running on @xdaichain, gas for more than 179K transactions was only $183! https://t.co/RiqoUY4xit
— xDai Stake (@xdaichain) January 18, 2021
All trading fees generated by the protocol are currently sent to an insurance fund designed to secure the protocol, and the project plans to transfer 50% of the fees to PERP participants when the stake pool begins.
In the blog post, Perpetual Protocol stated that it spent only $ 183 to process 179,000 transactions, as the gas fees on xDai are only one percent of those on the Ethereum mainnet. With the Perpetual Protocol, which covers the gas fees of its traders, DEX would have to pay a $ 18,300 fee if it was operating directly on Ethereum.
XDai is one of the few L2 scaling solutions that offers an alternative to the hefty fees associated with running directly on the Ethereum mainnet. Synthetix has recently launched the first phase of his transition to optimistic rebounds.
Looking ahead, Perpetual hopes to offer limit order functionality in the first quarter of 2021 and will start staking in February.
Decentralized exchanges emerged as one of the cornerstones of the crypto ecosystem during DeFi’s Q3 2020 boom, and the leading DEX Uniswap is currently handling nearly $ 1 billion in volume every day, regularly outpacing many major centralized exchanges with its trading activities.