The Serum network is a Defi ecosystem that provides its users with incredible speed, for its network, as well as next to zero transaction costs in its decentralized exchange space. The Serum network is the first high-performance decentralized exchange platform whose design follows the path of a completely on-chain matching engine, and a central limit order book. The partners on its ecosystem are allowed to make compositions using the network’s on-chain order book to distribute liquidity so as to power the trading features used by the retailers and members of its institutional community.
Over the years, there has been a surge in the popularity and development of decentralized exchange platforms in the Ethereum ecosystem. However, the problem of slow rates of transactions at high gas fees has been limiting developers and users of the platform. The Serum system is working to solve these problems faced by earlier-generation systems, while also tackling the low capital efficiency, segmentation of liquidity, and the problem of centralization. Just like the ERC-20 based tokens, SRM provides users with added advantages within the network such as staking rewards and voting rights.
Who are the Founders of Serum (SRM)?
According to the Serum website, it is an open-source project that was created by a group of interested parties, which include Alameda Research, the Solana Foundation, and FTX.
Currently, the development of the Serum network is overseen by the Serum foundation which has the backing of several groups of individuals with expertise that span across several fields including decentralized finance, trading, and cryptocurrency. The platform was designed based on many existing networks and has also been led by a large number of firms that specialize in finance and cryptocurrency. However, the Alameda Research, and the FTX exchange were the first names associated with Serum upon its creation in 2020 and chose to develop it on Solana. According to the founding team of the FTX network, building the platform on the Solana network was one of the best ways to ensure a high level of scalability on the platform.
What is Serum (SRM) used for?
The Serum network was designed to be able to facilitate transactions through a protocol that mirrors traditional exchanges. Through its integration inside the Solana ecosystem, the network is able to harness cost-effectiveness with speedy transactions, allowing for the network to be stabilized on a reliable blockchain.
The network’s native cryptocurrency, SRM creates its value from its application within the Serum network, as it is essentially the preferred mode of payment for transfer fees, and as such, users of the network spend SRM coins to enjoy discounts on fees within the Serum ecosystem.
What Is the Unique Point of Serum (SRM)?
The Serum network makes several provisions for its users which have put the platform in a unique position. While the platform is aimed at providing an increased speed and more scalability, it can achieve that through a series of protocols.
- Order Book
In most traditional financial platforms, the order book is generally referred to as a list of buy and sell orders as organized by the current price levels, which are also maintained by a singular entity. The decentralized exchange of the Serum network is aimed at automating this via a process that matches buyers and sellers on its chain depending on the orders made. Unlike many of the market-making procedures currently used whereby traders buy and sell digital assets from liquidity pools. Serum on the other hand gives them the liberty to choose the price they deem fit to sell or buy digital assets and select the order size they desire.
- Cross-Chain Swaps
One of the major strong points of the Serum network is that it opens its users up to the option of cross-chain swaps, allowing them to digital assets that are mounted on other platforms. An example of this is making use of cross-chain exchange with tokens built on the Ethereum ecosystem. The mechanism is executed when the involved parties transfer ETH tokens to a smart contract as a form of collateral. Upon receiving the tokens sent by the originating party, both of them receive their ETH collateral back.
How many Serum (SRM) coins are in circulation?
When the SRM token, which is the dedicated cryptocurrency of the Serum network, was released, it had its maximum supply pegged at 10,000,000,000 SRM. Out of that amount, the current circulating supply is 54,861,111. This essentially means that the amount in supply has not even scratched the surface of the total tokens released.
While the coin is used to execute transactions on the Serum network, it also provides users of the network that hold the token with several unique advantages. Among those are the voting rights to enforce or reject change on the platform, as well as exclusive access to discounts on protocol fees.
Is the Serum (SRM) Network secured?
Based on the design specification of Serum’s development on the Solana network, it is permission less. This is achievable through the technology used by the Solana ecosystem which is categorized as a web-scale blockchain that is able to hit 400ms block times, in addition to its transaction numbers that reach 50,000 per second. The system used a verifiable delay function which is called the SHA 256 hash chain. Based on the offering of the Serum network, the platform can compete against all other centralized services available in the industry.
Additionally, the Serum network also uses a unique protocol known as the MegaSerum token which users can get access to, provided they lock 1 million SRM tokens. This in turn boosts their rewards far beyond the 1 million tokens that were locked.
On the platform, for a node to be operational and provide histories for cross-chain settlement validations within the network, participants are required to stake at least 10 million SRM tokens, and to achieve that, each of the nodes must at least have one MSRM. On the other hand, users who don’t want to operate a node but are still trying to earn staking rewards are given the option of delegating their SRM tokens to any of the node operators and then unlocking a fraction of the staking rewards presented.
How do I buy Serum (SRM)?
The provisions made by the Serum network are majorly based on two concepts which are the provision of fast transactions and affordable gas fees. Even though several people have tapped into its ecosystem and bought tokens, there are currently billions on the market and with its listing in several market exchanges, they can be easily purchased. To buy SRM tokens, follow the directions below.
- you will need to create an account with the crypto trading platform.
- Next, you will need to transfer a specific amount of fiat money to your crypto account through the funding options.
- Lastly, the transaction must be confirmed before you can go on to buy your SRM tokens.
Which Cryptocurrency Wallet Supports Serum (SRM)?
The PTPWallet platform, similar to the Serum network, provides solutions to several problems combating the world of cryptocurrency. The system supports a pool of digital assets, among which includes the Serum wallet. While it already offers several groundbreaking technological opportunities, such as its speed and easy-to-use interface, it also allows other advantages. The system exposes its users to other projects in the crypto space while ensuring the highest level of security.