Primex Finance deploys its beta on the zkSync testnet to enable margin trading on DEXs

Pioneer’s prime cross-chain brokerage protocol, Primex Finance, announces the deployment of its recently launched beta version on the zkSync 2.0 testnet. The integration, which will take place at the end of October 2022, will allow the project to offer users better transaction speeds for margin trading on DEXs.

At the same time, traders can benefit from lower gas fees and a high level of security with Primex Beta.

As a promising solution to improve Ethereum’s scalability, zkSync’s Layer 2 (L2) protocol leverages zero-knowledge (ZK) rollup technology to achieve low-cost and fast transactions. At the same time, it inherits the first layer (L1) security level with Ethereum Virtual Machine (EVM) compatibility.

Dubbed by Vitalik Buterin as a potential long-term winner of the “wars of scaling”, ZK Rollups are in high demand among Web3 developers. As a top solution in this space, zkSync already has over 100 projects dedicated to launching the upcoming zkSync 2.0 network, including established DeFi market participants and infrastructure providers such as Uniswap, Curve, Yearn, Chainlink, The Graph, Argent and Gnosis.

On a mission to defragment the DeFi market, Primex Finance is among the projects trying to integrate its ecosystems with zkSync. Later in October, Primex will deploy the beta version of its platform on the zkSync 2.0 testnet, which has been operational since February 2022.

With the upcoming zkSync integration, Primex Finance aims to expand the capabilities of DEXs by enabling decentralized spot-margin trading. Rather than a siled ecosystem, Primex can operate on zkSync’s numerous decentralized exchanges, giving its users access to a wider range of trader tools and assets.

Currently on Primex Beta, users can take on the role of lenders and traders. For example, lenders supply digital assets to liquidity pools called credit buckets that traders use to borrow capital for their margin trades.

In exchange for their liquidity, lenders are rewarded with high returns backed by margin fees. Furthermore, since each credit bucket has different sets of risk parameters such as supported assets and maximum leverage available, it enables the latter participants to manage their risks efficiently.

Unlike most DEXs with margin trading capabilities, Primex replaces centralized order books and other backends with a permissionless network of stewards to achieve fully decentralized trade execution. Keepers are responsible for on-chain execution of actions such as position liquidation, stop loss, take profit or limit order.

“ZK Rollups have tremendous potential to solve Ethereum scalability in the long term, and zkSync is among the leading solutions in this space. Considering that the largest and most liquid DEXs are to be deployed on this L2, it made perfect sense for our team to deploy Primex on zkSync’s testnet. This allows us to introduce a truly decentralized spot margin trading experience to more users, who can benefit from lower gas fees and faster transaction speeds of ZK Rollup technology,” said Dmitry Tolok, co-founder of Primex Finance.

About Primex Finance

Founded in summer 2021, Primex Finance is the first-ever cross-chain prime brokerage protocol that aims to solve the DeFi market’s liquidity fragmentation problem by enabling spot-margin trading across numerous DEXs and blockchains with a fully decentralized Trade execution mechanism enabled.

The project’s team recently reached the next phase of its roadmap by releasing the beta version of the platform and introducing a variety of new features and mechanisms to improve the user experience. Further information can be found at Primex website and to blog.

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