DeepBook Enhances DeFi Capabilities with Version 3 Launch

DeepBook
has
launched
its
latest
version,
Version
3,
on
the
Sui
Testnet,
bringing
significant
improvements
aimed
at
enhancing
its
utility
for
decentralized
finance
(DeFi)
protocols,
according
to

The
Sui
Blog.

Key
Features
and
Improvements

Among
the
notable
advancements
in
DeepBook
Version
3
are
the
substantial
reduction
in
gas
fees,
dynamic
trading
fees,
and
a
new
capital-efficient
order
management
system
for
market
makers.
These
features
are
designed
to
make
the
platform
more
attractive
and
efficient
for
DeFi
protocols.

One
of
the
significant
updates
is
the
introduction
of
the
DEEP
token,
which
will
establish
a
new
governance
model
for
the
liquidity
layer.
This
model
allows
stakers
to
propose
and
vote
on
changes
to
taker
and
maker
fees,
with
votes
occurring
at
every
epoch.

Reduced
Transaction
Costs

Efficiency
improvements
in
DeepBook
Version
3
have
led
to
a
60
percent
reduction
in
transaction
costs
compared
to
the
previous
version.
This
reduction
is
expected
to
make
it
more
cost-effective
for
DeFi
protocols
to
operate
on
the
platform.

New
Orders
Interface

DeepBook
now
features
a
swap-like
interface
that
simplifies
its
integration
with
DeFi
protocols,
making
it
more
user-friendly
and
accessible.

Flash
Loans

The
new
version
supports
instant,
zero-collateral
borrowing,
facilitating
arbitrage,
liquidity
provision,
and
risk
management
within
DeepBook’s
highly
performant
environment.

Dynamic
Fees

The
introduction
of
dynamic
fees
allows
for
greater
flexibility.
Through
the
new
governance
model
and
DEEP
token,
stakers
can
propose
changes
to
the
fees,
ensuring
that
the
platform
remains
competitive
and
responsive
to
market
conditions.

Shared
Liquidity
Across
Pools

Market
makers
can
now
share
capital
between
pools,
reducing
the
risk
associated
with
maintaining
deep
liquidity.
This
improvement
is
expected
to
enhance
the
overall
liquidity
and
efficiency
of
the
platform.

Token
Utility

DeepBook’s
DEEP
token
will
play
a
crucial
role
in
incentivizing
participants
to
provide
ample,
around-the-clock
liquidity.
Market
makers
will
earn
rebates
in
DEEP,
and
stakers
will
be
able
to
participate
in
the
governance
of
individual
pools.
The
governance
structure
is
designed
to
prevent
any
single
entity
from
having
outsized
control,
ensuring
a
balanced
and
fair
decision-making
process.

Testnet
to
Mainnet

The
latest
version
of
DeepBook
was
deployed
to
the
Sui
Testnet
on
August
21,
2024,
with
a
planned
two-week
run
before
its
Mainnet
launch.
Users
are
encouraged
to
help
test
the
new
version
by
providing
feedback
through
the
designated
channels.

For
further
updates,
follow
DeepBook
on
Twitter.

Note:
This
content
is
for
general
educational
and
informational
purposes
only
and
should
not
be
construed
or
relied
upon
as
an
endorsement
or
recommendation
to
buy,
sell,
or
hold
any
asset,
investment,
or
financial
product
and
does
not
constitute
financial,
legal,
or
tax
advice.

Image
source:
Shutterstock