Vest｜Exchange Offering High Transparency and Fairness Powered by ZKsync

Vest is a decentralized perpetual futures exchange utilizing zkSync, a zero-knowledge proof (ZK) rollup built on Ethereum. Users can trade various digital assets, and liquidity providers (LPs) can provide capital in USDC to earn revenue. Vest emphasizes high capital efficiency, fairness, robustness, and reliability. Its proprietary risk engine, zkRisk, enables optimal pricing and risk management. This allows for lower trading fees, reduced risk for LPs, and the ability to handle more assets. Ultimately, Vest aims to build a comprehensive DeFi ecosystem with cross-collateralization and risk neutrality using zkRisk.

zkRisk: Technology that Proves Security

One of Vest Exchange's most distinctive features is a technology called zkRisk. This system mathematically proves that the exchange's financial status is always secure. With traditional exchanges, it is difficult for users to determine whether the exchange has sufficient funds, but Vest Exchange provides this information transparently and reliably.

zkRisk uses complex mathematical models to assess the overall risk of the exchange and records the results on the blockchain. This allows anyone to verify the exchange's security. This technology is groundbreaking in the cryptocurrency industry and significantly improves user trust.

Dynamic Fees (Premium) and Funding Rates

On Vest Exchange, trading fees are not fixed but fluctuate according to market conditions. This is called a premium. Higher-risk trades have higher premiums, and lower-risk trades have lower premiums. This means users making high-risk trades bear fees commensurate with the risk, while users making low-risk trades can trade with lower fees.

Vest Exchange also dynamically adjusts funding rates. This is a mechanism where funds are exchanged between users holding positions based on the market's supply and demand balance. This maintains market stability and provides a fair trading environment for users.

AMM and LP Protection

Vest Exchange employs a system called an Automated Market Maker (AMM). The AMM acts as a counterparty for users' trades and provides market liquidity. Because the AMM's capital is separated from the LP's (Liquidity Provider's) funds on Vest Exchange, LPs are less susceptible to losses incurred by other users.

Furthermore, Vest Exchange offers multiple reward methods for LPs. In addition to the premium that fluctuates according to risk, fixed fees are also distributed to LPs. This allows LPs to earn stable returns.

Liquidation Engine and Gasless Trading Integration

Vest offers users a safe and efficient trading experience by combining an innovative liquidation engine with gasless trading.

The liquidation engine maintains the stability of the entire system by liquidating a portion of a user's position when it becomes risky. Instead of liquidating the entire amount as with traditional exchanges, partial liquidation minimizes user losses. Furthermore, optimization algorithms reduce liquidation costs and minimize market impact.

Gasless trading is a mechanism that allows users to trade without paying gas fees by utilizing zkSync's Paymasters feature and Vest's proprietary external wallet technology. This significantly reduces transaction costs, allowing users to participate in trading more easily. Furthermore, the one-click trading feature improves usability.

By combining these technologies, Vest provides a safe and efficient trading environment for users and contributes to the development of DeFi.

Vest Exchange has raised a total of $10 million in two funding rounds. The latest funding was a Seed round on August 9, 2023.

There is no official mention of an airdrop, but currently, Vest Exchange displays "VEST QUEST (COMING SOON)", suggesting the possibility of quests to earn an airdrop.

Furthermore, Vest's DOCS page states, "Vest Street is a way for early adopters to show their interest in Vest and get rewarded in return. Vest Street participants can earn ■■■■■ by completing tasks or getting promoted to special roles," suggesting that participating in Vest Street may offer an opportunity to earn an airdrop.

More detailed information seems to be available on Discord.