DeriW | Next-Generation Perp DEX by CoinW

The DeFi market, especially for derivatives trading, is rapidly growing, but many decentralized exchanges (DEXs) share common problems. These are:

• Excessively high gas fees (network fees): Particularly on Ethereum-based platforms, these are incurred with every transaction, leading to significant cost burdens.
• Slow transaction speeds: This is critical during sudden market fluctuations or for high-frequency trading.
• Complex user experience (UX): This presents a high hurdle for beginners.

DeriW is a project aiming to fundamentally solve these challenges and realize a decentralized derivatives market that everyone can access efficiently and comfortably.

DeriW is trying to solve the very bottlenecks of existing DEXs.

1. The Impact of a "Zero Gas Fee" Model: Gas fees have been a major pain point for users. By making them "zero," DeriW dramatically reduces trading costs, enabling more active trading.
2. "80,000 Transactions Per Second" Surpassing CEXs: DeriW aims for a processing capacity that rivals or even potentially exceeds that of centralized exchanges (CEXs). This significantly reduces the risk of order delays and slippage (execution at an unfavorable price), providing peace of mind even during high volatility.
3. "Intuitive UX" Satisfying Everyone from Beginners to Pros: DeriW eliminates the complexity that has hindered DeFi adoption. With a sophisticated interface and CEX-level usability, it aims for a future where a wide range of users can benefit from DeFi derivatives trading.

By achieving these, traders will be able to conduct derivatives trading freely and securely with full control over their assets in self-custody wallets, without worrying about costs or speed. This attempt to merge CEX convenience with DeFi's transparency and self-custody values is a significant step towards the growth and mass adoption of the entire DeFi market.

Furthermore, DeriW emphasizes "institutional-grade security." This reflects a commitment to meet the needs not only of individual traders but also of large professional investors. By inheriting Ethereum's robust security, receiving support from the major exchange CoinW, and conducting external audits, DeriW aims to build a highly reliable platform.

DeriW's Concrete Activities: From Testnet to the World

DeriW is actively working to make its ambitious goals a reality.

• Flagship Product "DeriW DEX": Specializes in perpetual contracts. It allows trading of major cryptocurrencies like BTC and ETH, as well as various other tokens, with leverage up to 100x. Trading fees are also low at 0.02%, significantly reducing costs when combined with zero gas fees.
• Testnet, Finally Launched! (Around March 2025 ~): This is the final adjustment phase before the mainnet release and a chance for users to experience DeriW's features firsthand. The DeriW team is actively collecting feedback from participants to improve the product.
• Incentive Program "Supernova" is Underway!: A big chance to earn $DER tokens (DeriW's native token) by clearing specific trading tasks! This attracts active testers and also serves as a stress test for the platform. More details in "The Value DeriW Brings to Users" below!
• Bug Bounty Program Also Implemented: Aimed at enhancing security and community engagement, with rewards paid to those who discover vulnerabilities.
• Increasing Global Awareness:
  • Exhibition at "Token2049" (Dubai, April-May 2025): Joint booth with CoinW to interact widely with industry stakeholders.
  • Active Participation in Various Networking Events: Building relationships with prominent KOLs, developers, and investors at events like "Tomorrow's Token" and "Royal Night with Legends." Exchanging opinions with speakers from famous projects such as Hacken, AWS, and Certik.

Strongly backing these activities is the major cryptocurrency exchange CoinW, its development parent. Support in terms of infrastructure, expertise, and funding, as well as CoinW's brand power and network, are accelerating DeriW's growth.

"Zero gas fees," "80,000 TPS" – these astounding performances are realized by DeriW's unique technological foundation.

1. Arbitrum Orbit Layer 3 (L3) Architecture: A Dedicated Ultra-Fast Lane for DEXs

DeriW's greatest technical feature is the adoption of a Layer 3 (L3) architecture using Arbitrum Orbit.

• What is L3? It inherits the security of Ethereum (L1) and improves scalability on L2 (Arbitrum). Furthermore, by building a DeriW-dedicated blockchain called "DeriW Chain" on L3, it achieves ultra-high performance and customizability.
• An Analogy...
  • Ethereum (L1): A major arterial road with heavy traffic.
  • Arbitrum (L2): A bypass road to alleviate congestion.
  • DeriW Chain (L3): A "DeriW-dedicated ultra-fast lane" built on the bypass. It processes transactions quickly and at low cost (free on DeriW!) without being affected by others.

The adoption of L3 has enabled flexible gas fee model settings (resulting in zero gas), a significant improvement in transaction processing capacity, and easy implementation of DeriW's unique features. This is supported by Optimistic Rollup technology and a custom architecture based on WebAssembly (WASM) and Go Ethereum (Geth).

2. Zero Gas Fees & 80,000 TPS: Overturning the Norms of Cost and Speed

The aforementioned L3 architecture achieves the following benefits:

• Gas fees, completely free!: A dream environment for traders, especially frequent traders and small-volume traders.
• Ultra-high-speed processing of 80,000 transactions per second (TPS): Processing speed that rivals or potentially surpasses CEXs. Significantly reduces the risk of order delays and slippage, and also achieves millisecond-level confirmation speeds. Provides a stress-free trading experience.

3. Pendulum AMM: The Magic Pendulum that Manipulates Liquidity

DeriW adopts a unique innovative model called "Pendulum AMM (Automated Market Maker)" for liquidity provision.

• Dynamic Liquidity Adjustment: Unlike traditional AMMs or order books, it optimizes liquidity in real-time like a "pendulum," according to trader positions and market conditions.
• Benefits:
  • Can support trading volumes exceeding initial capital.
  • Significantly reduces slippage and provides deeper liquidity.
  • Combines the price discovery accuracy of order books with the liquidity provision efficiency of AMMs.
  • Potential for high returns of up to 80% APR for Liquidity Providers (LPs)!
  • Pursuit of Stability and Safety: Aims to ensure system stability and solvency even during extreme market fluctuations by incorporating a closed-fund model and an automatic risk readjustment system.

This Pendulum AMM is an ambitious attempt to solve the issues of low capital efficiency, slippage, and impermanent loss faced by traditional AMMs, as well as the difficulty of securing liquidity providers faced by order book types. Its true value will be proven by thorough verification on the testnet and its performance after the mainnet launch.

4. UBPK (Unstolen Browser Private Key) Mechanism: Towards Balancing Security and Convenience

Introduction of "UBPK (Unstolen Browser Private Key)" technology to make user private key management safer and more convenient.

• Mechanism: Securely stores the private key within the user's own web browser. Reduces the hassle of signing each transaction while mitigating the risk of external leakage.
• The Aim: To achieve a smooth operational feel like CEXs while retaining the self-custody benefits of DEXs.

However, browser-based key management still requires user literacy and caution. Attention is focused on what additional security measures DeriW is implementing.

5. Other Technical Features: Ensuring Scalability and Future Potential

• EVM Compatibility: Makes it easy to leverage existing Ethereum development tools and smart contract assets, and facilitates smooth collaboration with other projects.
• Cross-Chain Technology (Future Plan): Aims for second-level interoperability with other major blockchain assets like Bitcoin and Solana, planning a significant expansion of tradable assets.
• WASM/Geth-Based Architecture: Custom design combining the high performance of WASM with the stability and compatibility of Geth.

What makes DeriW stand out among the numerous DEXs?

1. Strong Backup from CoinW: A Foundation of Trust and Achievement

The biggest strength is its development and operation by the global major cryptocurrency exchange CoinW. Established in 2017 and boasting over 11 million users (another article mentions 13 million users in 14 countries) in 18 countries worldwide, CoinW's experience, technical capabilities, financial strength, and brand power fully support the DeriW project.

Dubbed CoinW's "flagship DEX" and "cherished project," DeriW is not just a startup but closer to a spin-off of an established exchange. This provides a significant advantage in terms of reliability and resources. It aims for future operation by a DAO (Decentralized Autonomous Organization), demonstrating a commitment to decentralization.

2. Unmatched Technical Superiority

• Zero Gas Fees: Overwhelming cost advantage.
• 80,000 TPS: Smooth trading experience.
• Pendulum AMM: Deep liquidity and high returns for LPs.
• Layer 3 Structure: Maximization of platform performance and future scalability.

These technologies clearly differentiate DeriW from existing DEXs, but continuous research, development, and innovation are key to success in the fast-evolving blockchain industry.

3. User-First Design Philosophy

Provides an intuitive and sophisticated UI/UX, aiming for a seamless trading experience like CEXs. Supports various order types such as market, limit, take-profit, and stop-loss, and caters to professional needs with up to 100x leverage.

4. Thorough Commitment to Security

• Inherits Ethereum's robust security foundation (via Arbitrum L2).
• Complete self-custody of assets through non-custodial wallets.
• Smart contract audits by third-party organizations.
• Implementation of a bug bounty program.
• Plans and implements real-time anomaly detection, MEV attack resistance, multi-sig management, and mature cross-chain bridges.

While aiming for "institutional-grade security," the importance of user's own private key management and security awareness remains unchanged. The UBPK mechanism also needs to consider the balance between convenience and risk.

DeriW has a clear vision and a phased roadmap.

• Short-Term (～Q2 2025):
  • Successful operation of the testnet and reflection of feedback.
  • Mainnet launch (scheduled for Q2 2025)! Full-scale service commencement.
  • $DER Token Generation Event (TGE) also planned for the same period.
• Mid-Term (Q3-Q4 2025):
  • Introduction of professional-grade API (scheduled for Q3): Promoting use by algorithmic traders and institutional investors.
  • Custom trading pair support (scheduled for Q3): Increasing the diversity of tradable assets.
  • Global community development, continuous improvement of UI/UX (Q4 target). Deepening liquidity, adding advanced trading tools.
• Long-Term Vision:
  • Establishment as a leading platform for decentralized derivatives trading, aiming to become an industry leader.
  • Becoming a bridge between CeFi and DeFi.
  • Towards complete decentralization: Aiming for on-chain governance, multi-sig management, and ultimately, community operation by a DAO.

The journey of DeriW, developed under CoinW's leadership, towards "complete decentralization" through a DAO is an interesting challenge in balancing the ideals and realities of DeFi. The governance function of the $DER token will play a central role as "phased decentralization" progresses.

DeriW's roadmap is ambitious, but to establish a firm position in the fiercely competitive perpetual DEX market (dYdX, GMX, Hyperliquid, Aevo, etc.), maintaining technical superiority, effective user acquisition strategies, and strong community support are essential.

DeriW offers many benefits and attractions for traders, LPs, and users broadly interested in Web3.

Benefits for Traders: Pursuing the Best Trading Experience

1. Shockingly Low Costs: "Zero gas fees" + 0.02% low trading fees. Enables active trading without worrying about costs.
2. Ultra-Fast Trading & Excellent Execution: With 80,000 TPS and millisecond confirmation speeds, significantly reducing delays and slippage.
3. High Leverage & Pro-Spec Order Functions: Up to 100x leverage and diverse order types to support advanced strategies.
4. Combining CEX Usability with DEX Security: Intuitive UI/UX, seamless operation with UBPK mechanism. Assets are securely stored in self-custody wallets.

Benefits for Liquidity Providers (LPs): Chance for High Returns and Stable Income

• Highly Efficient Capital Utilization with Pendulum AMM: LPs can expect a share of trading fee revenue plus rewards in $DER tokens, with the potential for high returns of up to 80% APR suggested.
• Reduced Risk of Impermanent Loss: The dynamic adjustment mechanism of Pendulum AMM may allow for more stable income.

Big Chance for $DER Tokens and Airdrops!

Early participation in the DeriW project is an excellent opportunity to acquire $DER tokens.

• Testnet Participation Incentive "SUPERNOVA" Program:

  By clearing specific tasks on the currently ongoing testnet (connecting wallet, receiving test coins, first trade, achieving cumulative trading volume, holding positions, etc.), you can earn $DER points (assumed to be exchangeable for $DER tokens after mainnet launch). The total reward pool is up to 6600 $DER points/tokens! An airdrop is planned after the mainnet launch.

  DeriW Point System ($DER Rewards) Overview

  This "SUPERNOVA" program is not just a giveaway but a strategic design to encourage actual platform usage. This allows DeriW to collect data on actual trader behavior and optimize the product. High rewards aim to attract experienced traders, generating quality liquidity and active trading from the testnet phase. It's a practical application of the Web3 value co-creation model.

• Bug Bounty Program: Chance to earn rewards of 100 to 100,000 $DER, depending on the content, for discovering and reporting platform vulnerabilities.

• Expectations for the Future of $DER Tokens: TGE is scheduled concurrently with the mainnet launch in Q2 2025. Detailed tokenomics are yet to be announced, but generally, native tokens of DEXs are used for governance voting rights, staking rewards, trading fee discounts, and liquidity mining reward boosts. DeriW also plans to become a DAO, and the $DER token will undoubtedly be central to that.

Learning Opportunity: Experience Cutting-Edge DeFi Technology

DeriW actively adopts cutting-edge DeFi and Web3 technologies such as Arbitrum Orbit Layer 3, Pendulum AMM, and a zero gas fee model. Touching and understanding these technologies through the testnet will be an excellent opportunity to update your knowledge and feel the trends of the rapidly evolving Web3 industry firsthand.

[Important] Points to Note Before Participating (About Risks)

While DeriW project holds great promise, please be aware of the following points when considering participation.

• Project Stage: DeriW is currently in the testnet phase, and the mainnet launch is a future plan. Its success is not guaranteed.
• Investment Risk: Cryptocurrency trading, especially derivatives trading with leverage, carries the risk of significant losses due to price fluctuations. Please do so at your own risk and with funds you can afford to lose.
• Purpose of Information: The information in "CandyDrops," including this article, is not investment advice and does not recommend specific investment actions. Neither this site nor the DeriW project is responsible for any losses incurred from trading.
• Recommendation for Self-Research (DYOR): Make investment decisions after conducting sufficient research on your own and consulting with a professional if necessary.

While DeriW offers attractive opportunities, there are also inherent risks in derivatives trading, risks associated with early-stage projects, and uncertainty about the value of $DER tokens. Please understand both the risks and returns and make careful judgments.

DeriW is an ambitious project tackling existing DEX challenges like gas fees, speed, and UX with innovative technologies such as Arbitrum Layer 3, zero gas fees, 80,000 TPS, and Pendulum AMM. Backed strongly by the major exchange CoinW, it aims to combine CEX-level efficiency with DEX transparency and self-custody, providing a high-performance derivatives trading platform to a wider range of users.

Towards the mainnet launch and $DER token issuance in Q2 2025, DeriW is strengthening community collaboration through testnet feedback collection and incentive programs. With plans for API provision, custom pair support, and ultimately, a transition to decentralized governance by a DAO, there's a clear intention to establish a new standard in the DeFi derivatives market.

For traders, direct benefits like zero gas fees and high-speed transactions, for LPs, the potential for high returns, and for all participants, the opportunity to acquire $DER tokens and learn about cutting-edge technology will be attractive.

Of course, participation is premised on a full understanding of the risks involved. Will DeriW realize its grand vision and break new ground in DeFi? We can't take our eyes off its future developments!