In a significant development for the decentralized finance (DeFi) industry, OKX Ventures, the venture capital division of OKX, has announced a strategic investment in Aark Digital.The investment underlines both the growing significance of decentralized derivatives trading in the cryptocurrency ecosystem as well as OKX Ventures dedication to assisting creative DeFi businesses.
In order to facilitate the trading of 300+ pairings, including Super Long assets, Aark developed a new AMM architecture dubbed PMM (Parallel Market Maker). Aark is the most liquid exchange among all CEXs and DEXs due to PMM’s reflection of liquidity from the order books of leading CEXs like OKX and Binance. Professional traders can make use of Aark’s cutting-edge execution features and cross-margin.
Aark alters the dynamics of LP. Single-sided LP enables liquidity providers to LP using stETH, BTC, USDC, and many other assets without having to be exposed to a basket of assets. In addition to this delta-neutrality, Aark offers Leveraged LP, which allows liquidity providers to increase the leverage on their LP holdings and earn up to 5x APR. The balanced long-short open interest exposes LPs to the least amount of directional risk by further implementing funding fees and eliminating borrowing fees. Now, liquidity providers can safeguard their LP assets while generating leveraged profits.
“It is an honor for us to take part in the investment in Aark. The Aark team is committed to developing a completely new trading platform experience for professional traders. They are passionate about the derivatives industry, and their product innovation and mechanism design are remarkable, significantly lowering LP risk and increasing profit, as stated by Dora, OKX Ventures founder.
The strategic alliance between OKX Ventures and Aark Digital is anticipated to encourage communication and knowledge exchange between the two organizations. This synergy may result in the creation of fresh goods and services that advance the decentralized derivatives market. It also emphasizes how crucial industry cooperation is to fostering innovation and expanding the realm of what is practical in the DeFi sector.