warp(x)

warpX is a fully on-chain hybrid orderbook exchange with AMM implemented in Rust

Why Polkadot?

Polkadot offers several compelling advantages for our project:

1. Robust Shared Security: Polkadot's unique shared security model ensures that all parachains benefit from the collective security of the entire network. This approach significantly enhances the resilience and integrity of our chain, providing a solid foundation for our exchange.

2. Cost-Effective Scalability: By leveraging Polkadot's architecture(a.k.a agile coretime and elastic scaling), we can achieve high transaction throughput at lower costs compared to traditional roll-up solutions. This efficiency allows us to offer competitive fees while maintaining optimal performance which enables fully-on-chain trading.

3. Composability: Through its native Cross-Consensus Message (XCM) protocol, Polkadot enables seamless interoperability between different parachains and even external networks such as Ethereum and Solana. This composability is crucial for creating a truly interconnected and efficient ecosystem.

These features make Polkadot an ideal platform for building our hybrid orderbook exchange, enabling us to create a secure, scalable, and interconnected trading environment.

What we want to achieve on Polkadot:

• Fully On-Chain Trading: Unlike other centralized exchanges, warpX will not have any server or backend. Everything is executed on-chain, ensuring transparency and trustlessness.
• Composability: warpX will be fully integrated into the Polkadot ecosystem, allowing for seamless interoperability with other parachains and even external networks.
• Security: With the shared security of Polkadot, warpX will benefit from the security of the entire network, ensuring that the exchange remains secure even in the face of potential attacks.
• High Liquidity: warpX will provide high liquidity for trading pairs, making it easier for users to buy and sell assets.

Features

Those are the features implemented in warpX runtime

Hybrid Orderbook

Pool is always located at the middle of bid/ask orderbook where the current price of pair is made and eliminating the spread between those two. As a result, order is matched at the better price, which is taking instant arbitrage, the market provided.

Process of matching order

• When user place an order, order is matched on pool
• If the price(of the pool) reached the lowest ask or highest bid, order is matched on orderbook.
• This process repeats until the order is fully filled

Reward Distribution

• Takers Pay Makers Earn
• No matter how(e.g limit order or add liquidity to the pool) user provides its liquidity to the pool, will get rewards of trading fee

NOMT

the Nearly-Optimal Merkle Trie Database

• Storage layer
• Since fully on-chain matching order requires large amount of storage io, it is important to make cost efficient as much as possible. warpX applied NOMT

Multi Asset

• Since warpX is based on PolkadotSDK, which is the best framework for composability, XCM is supported natively. Other assets like DOT, EVM-compatible assets(e.g ETH, WBTC) are bridged via XCM.

Private Trading

• With the power of ZKP, warpX enables users to trade without revealing their identity on-chain. That said, only the token and its amount of order is revealed
• This feature is still work in progress

Milestones

Phase 1

• Pallet Hybrid Orderbook
• Support Limit Order & Market Order
• Support Stop-Limit Order & Stop Order

Phase 2

• Integrates NOMT

Phase 3

• Integrates multi-assets such as EVM-compatible or other parachains' assets

Phase 4

• Private Trading