"Rebuilding from scratch to compete is a hell of a lot harder than just porting trillions of dollars [in existing TradFi liquidity] on-chain ... The model of order books on-chain necessitates rebuilding liquidity, not porting it over, not aggregating it."
- @variational_lvs
Today, an interview between @choffstein and @variational_lvs went live covering Variational's broker-like design, the launch of swaps, and what's being built next.
Give it a watch 👇
00:00:00 Introduction and guest overview
00:02:42 Lucas Shuermann and Variational background
00:05:14 Growth and benefits of Omni
00:05:45 How Omni offers tighter spreads and zero fees
00:09:35 Flow segmentation and liquidity quality
00:14:05 Hedging challenges on other
Variational is the best place to trade traditional markets in size.
Slippage on $1M swap orders:
➡️ US100: 0.004%
➡️ US500: 0.008%
➡️ XAU: 0.020%
➡️ USOIL: 0.040%
➡️ UKOIL: 0.043%
➡️ TWI: 0.025%
All-in execution costs at $1M size are lower than fees alone on most traditional
Today, @castle_labs released a research report digging into execution costs on swaps.
"Our analysis confirms that for most sizes, Variational is the cheapest venue for the current listed assets, costing as low as $47 for a $1 million trade in the case of US100."
