KuCoin AMA With Orderly Network (ORDER) — The Role of Permissionless Liquidity in Decentralized Trading

Dear KuCoin Users,

Time: September 10, 2024, 11:00 AM - 12:15 PM (UTC)

KuCoin hosted an AMA (Ask-Me-Anything) session featuring the COO at Orderly Network, Arjun, in the KuCoin Exchange Group.

Official Website: https://orderly.network/
Whitepaper: Click to view

Follow Orderly Network on X, Discord and Telegram

Q: Could you briefly introduce yourself and give an overview of Orderly?

Arjun: I'm (the) COO at Orderly. I cover BD, Ecosystem, and legal and finance aspects while supporting our CORE team on product strategy as well. As you have already mentioned prior to Orderly, I spent a large part of my career over at Google in an executive leadership position focused on scaling business development teams who have supported bluechip companies and startups by helping them scale across Europe, MiddleEast, and Africa.

Orderly Network is revolutionizing trading with its unchained liquidity infrastructure. By consolidating all orders into a single shared order book across multiple chains, Orderly Network creates a unified liquidity landscape that improves trading efficiency, delivers deeper liquidity, and provides tighter spreads.

It empowers developers to connect and offer a comprehensive range of financial products for both retail and professional traders, without the risks associated with wrapped asset movement through cross-chain bridging.

The Orderly Chain, built on the OP Stack, leverages Celestia’s data availability and LayerZero’s cross-chain messaging protocol to serve as the settlement layer and ledger for all transactions.

Q: What key milestones has Orderly achieved so far, and which ones are you most proud of?

Arjun: There have been so many amazing milestones so far but we are in it for the long haul and have many many more to come!

To name a few, raising $20 million in a seeding round by top venture capital firms including Pantera Capital, Dragonfly Capital, and Jump Crypto, the Orderly Network team's mainnet launch on NEAR back in 2022!

Integration with Fireblocks to provide institutional users with secure access to enterprise-grade liquidity via dApps built on the Orderly Network, and a bunch of noteworthy collaborations with industry giants like Google Cloud, OP, LogX, Celestia, and LayerZero.

We also launched the Orderly Settlement Layer, which is powered by the Orderly Chain.

Here at Orderly, we’re really going from strength to strength, our total trading volume has surpassed $81 billion, and there are now over 425,000 total accounts that have used Orderly-powered DEXs. Orderly’s net revenue is now at $7,545,724, and we’ve paid out $11,000,000 in Builder fees. Which feels amazing!

We obviously also had our TGE recently, which was huge news, and I’m delighted to share that $ORDER is now listed on 26 exchanges, including KuCoin! And, we have over 55 million $ORDER staked! It’s been a massive time for us and we’re so proud of how much the team has achieved. Wait until you see what’s next.

The team has also grown from 4 people to over 60! And that is something I am truly proud of!

Q: Is Orderly currently profitable? Can you walk us through your business model?

Arjun: Yes we are!

We are a leading cloud liquidity infrastructure provider, supporting builders with robust liquidity solutions. Orderly Network offers a comprehensive, plug-and-play infrastructure that enables protocols to build with ease and efficiency. This approach allows us to share trading fees with the DEXs and market makers integrating with Orderly Network, fostering a mutually beneficial ecosystem.

The model works on a revenue share basis. (E.g., Orderly charges a base fee for trading and keeps this - Anything the DEXs charge on top of us, they keep!

All is visible through Dune.

You can see Orderly net fees so far are $7,545,724 and builders on Orderly have made $11,003,649!

What is exciting about this is 60% of all ORDERLY net fees go to $ORDER stakers! So that is REAL protocol revenue in the hands of token holders!

Q: How do you plan to advance cloud liquidity as a service, and what benefits does it offer to the market?

Arjun: The greatest thing here - Liquidity is fragmented across so many chains that DeFi has not managed to have a true solution until Cloud Liquidity was launched!

A. Supporting More Chains:

In addition to EVM-compatible chains, we are expanding our support to include more mainstream blockchains like Solana. We are also actively integrating other promising and emerging blockchains to broaden our asset coverage.

B. Enhancing Cross-Chain Protocol Integration:

Beyond LayerZero, we plan to incorporate additional cross-chain protocols to further reduce costs and transaction times, significantly enhancing the overall user experience.

Diversifying Collateral Options

We are expanding our collateral options beyond stablecoins to include BTC, ETH, SOL, and a wider array of asset types, offering users more flexible margin solutions.

All of this combined basically means users can come from the chain of their choice, trade with unified liquidity across one unified shared Orderbook! The perfect solution for DeFi traders!

Q: Orderly recently secured strategic investment. How will this funding fuel the next stage of growth?

Arjun: This latest round of investment will significantly strengthen the Orderly Network’s capabilities, propelling us further along our path of innovation and growth. We plan to expedite the development and rollout of key updates and features, such as Multi-Collateral, On-Chain Oracles, and cross-chain infrastructure enhancements.

The funding came from extremely strategic partners where not only their investment helps - but their expertise and advice help fuel our ecosystem and take us to the next level. Bringing $ORDER to everyone!

Q: Are there plans to explore emerging technologies or new protocols? How do you envision the future of cross-chain liquidity at Orderly?

Arjun: As mentioned, to expand and enhance our liquidity platform, we will be supporting more chains and seeking further cross-chain protocol integrations:

In addition to the EVM-compatible chains, we are expanding our support to include more mainstream blockchains like Solana. We are also actively integrating other promising and emerging blockchains to broaden our asset coverage.

Beyond LayerZero, we plan to incorporate additional cross-chain protocols to further reduce costs and transaction times, significantly enhancing the overall user experience.

At Orderly we are always going to be pushing the boundaries of innovation with more integration and more product partners! Actually an interesting fact out of 60+ team members we have more than 30 in product, engineering and research based roles! There are a lot of exciting product developments that will drive us to many many many levels above others.

Q: What does the future hold for Orderly? Can you share highlights from the road-map and your strategy to attract more developers, traders, and partners?

Arjun: We have important updates and new features coming soon that will further support our ecosystem and attract new partners - The future for Orderly is very bright! Here are some areas that I believe will hugely attract a new group of traders, developers and exciting new partners too!

Isolated Margin: Introducing Isolated Margin to our platform brings focused risk management and enhanced trading flexibility. This feature allows traders to allocate specific amounts of margin to individual positions, limiting potential losses to the margin assigned to each trade

Multi-Collateral: Traders can now use a variety of assets as collateral for their positions, enhancing liquidity and enabling more strategic, diversified trading approaches. This feature broadens access to our services, allowing users to leverage their entire portfolio, not just a single asset type, for a more efficient and flexible trading experience.

On-Chain-Oracles: By integrating On-Chain Oracles, we enhance our platform’s reliability and security beyond traditional CEX-based pricing. These oracles ensure continuous, transparent, and diversified data sources for pricing, acting as a dependable backstop against single-source vulnerabilities.

What I will say - This is only just a teaser of the upcoming new features! Next week you will hear about some exciting developments in the AI Space that we will be announcing too!

Q: Could you introduce $ORDER and its tokenomics? How does it benefit different stakeholders and support the ecosystem’s growth?

Arjun: Governance Rights: ORDER staking empowers token holders to partake in decentralized governance over key aspects of the Orderly Network as the governance process is formalized. Further details will be announced in due course.

Earning VALOR: VALOR measures a user’s ORDER staking position in terms of amount and duration, entitling users to a corresponding share of the protocol treasury.

Boosting Trading Reward: By staking ORDER, traders receive a higher share of the trading rewards.

Boosting Market Making Reward: Staking ORDER enables market makers to receive a higher share of the market making rewards.

Other Utilities: Additional ORDER token utilities will be introduced in Orderly Network’s upcoming products and third-party DeFi protocols.

Remember I also said earlier, 60% of all net fees go to the hands of stakers too!

Let me share some images that can help understand the tokenomics better too!

Q: With your experience in both mainstream and Web3 tech, what’s your take on the next big trend in DeFi?

Arjun: I think 'Chain Abstraction' and User onboarding is critical for the next wave of DeFi!

Let users feel like it’s a Web2 style experience that they are familiar with - social logins, phone logins, email logins - Let them come to the chain of their choice, no need for bridging or wrapped assets!

When we can simplify the user experience, when we can offer the quality of product of the Web2 world - we will see a giant uptick in DeFi.

Everything above is what Orderly offers - we truly believe that we have created a product that can really enable a mainstream adoption of DeFi to everyone!

Q: Do you think we’ll see another DeFi summer, and will institutional players have a bigger role this time?

Arjun: Yes there will most definitely be another DeFi summer. Look at all the new amazing protocols being built and the projects that are maturing and offering more quality products, quality liquidity and easier onboarding for users!

Institutional players will continue to grow - some are already here and some will continue to research and some will make larger leapers into DeFi. We have already seen so many leaps since the last DeFi summer - ETFs, Tokenised RWAs, Asset management firms pushing the boundaries within DeFi. Orderly is focused on this and working very very very closely with many players in this space and you will see a much greater push over the coming months!

A good example would be a player like Nomura holdings - The largest investment bank in Japan working very closely with Orderly. You may check here.

Q: Where can I buy ORDER token?

Arjun: You can find a list of all ORDER supported venues here.

Q: How does Orderly Network plan to expand beyond the NEAR ecosystem?

Arjun: Orderly is an omnichain. Users can come from Abritrum, Optimism, Polygon, Ethereum, BASE and Mantle right now! Many many more to come! Our ecosystem is growing and you can assume Orderly will support many and all chains in the future!

Q: What security measures does Orderly Network have in place?

Arjun: Orderly has many Audit partners in place! Including ongoing and large audits from the likes of Zellic! There have also been large bug bounties with the likes of Immunifi.

Most importantly, Orderly uses real-time alert detection from HyperNative!

Q: Who is your ideal consumer for your product and did you take into account the community feedback and requests in the development process to generate new ideas? Failing to understand the target audience and clients often leads to project failures.

Arjun: Orderly relies heavily on community feedback - we want to make a product that works for everyone. We take time to listen to all community members, traders, stakeholders and product partners to ensure we can use that feedback, improve our offering and make the best product possible. This is an ongoing effort and our Discord and Telegram groups are very busy and full of fantastic and actionable insights for us!

Q: You guys stated before that 60% of all net revenue generated by the Orderly Network is allocated to the treasury. So what will the allocation be for this amount to be used? Will the community be deciding its future use?

Arjun: The allocation in the treasury is for $ORDER stakers! Real protocol derived revenue in the hands of stakers! Community will most definitely be a part of all decision making as we progress too! Decentralization is key and the heart of the ORDERLY roadmap.

Q: Beyond your core features, what's a hidden gem in your project that most users might miss?

Arjun: We aim to become the liquidity layer for all Web3 trading and DeFi. The team is constantly working on innovative ideas that can foster more adoption from a wide range of users, from passive users to active traders to institutions. The likes of ample liquidity for traders, strategy vaults for passive users and off exchange settlement for institutional players.

Q: What are the key challenges in achieving true interoperability across multiple blockchains, and how does Orderly Network overcome these challenges to provide a seamless trading experience?

Arjun: This is a great question! The best answer here is to understand the Orderly Chain. This works as a truly omnichain settlement layer for Orderly, allowing users to come from their chain of choice and trade across a unified liquidity layer and orderbook. Say goodbye to fragmented liquidity!

Q: What are the benefits of holding your token as a long term investment? Can you tell us about the motivation and benefits for investors to keep your token in the long run?

Arjun: Orderly is an omni-chain ecosystem. We raised strategically from core stakeholders with a long term vision for Orderly. These investors and stakeholders want to work with us over a very large timeframe to help drive Orderly to the top. Their motivation is aligned to our own and to the community!

Q: Do you have tutorial videos so we can get to know your project more clearly or do you have a YouTube channel or something? Can you share it with us?

Arjun: There are lots of great videos on YouTube and twitter showcasing the benefits of Orderly! We also have regular bi-weekly twitter spaces called Out of Order!

Feel free to check here and this one as well.

Q: I am a trader, can I use my own trading strategies and monetize it?

Arjun: Yes! Very soon we will have some great solutions with user driven strategy vaults. Keep your eyes peeled on this one!

🎁 Participate in the Orderly Network AMA quiz now for a chance to win 69.88 ORDER.

The form will remain open for five days from publishing this AMA recap

KuCoin and Orderly Network have prepared a total of 10,000 ORDER to give away to AMA participants.

1. Pre-AMA activity: 4,190 ORDER

2. Free-ask section: 65.00 ORDER

3. Flash mini-game: 2,600 ORDER

4. Post-AMA quiz: 3,145 ORDER

Sign up for a KuCoin account if you haven’t done so yet, and ensure you complete your KYC verification to be eligible for the rewards.

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