ABOARD BECOMES FIRST ORDER-BOOK DERIVATIVES PROTOCOL ON ARBITRUM

Last updated: June 19, 2025, 20:41 | Written by: Charlie Shrem

The decentralized finance (DeFi) landscape is constantly evolving, with new protocols and platforms emerging to offer innovative solutions. British Virgin Islands, British Virgin Islands, 14th March, 2025, Chainwire Aboard exchange is now live on Arbitrum One, making it the first order book decentrOne such platform is Aboard, which recently announced its launch on Arbitrum One, making it the first order-book decentralized derivatives protocol on the Arbitrum mainnet.This is a significant milestone for the DeFi community, as Aboard aims to bring the efficiency and sophistication of centralized trading experiences to the decentralized world.Operating out of the British Virgin Islands, Aboard is designed to be a full-variety, efficient, and multi-functional platform, addressing some of the key challenges that have hindered the widespread adoption of DeFi derivatives.

But what exactly does this mean for traders and investors?And why is Arbitrum the ideal environment for Aboard?Let's dive deep into the features, benefits, and implications of Aboard's groundbreaking launch, exploring how it leverages Layer-2 (L2) solutions and the order-book mechanism to provide a seamless and cost-effective perpetual trading experience.From understanding the core components of the Aboard protocol to comparing it with existing Automated Market Maker (AMM) based solutions, we'll cover everything you need to know about this exciting new development in the DeFi space.Get ready to explore the future of decentralized derivatives trading!

Understanding the Aboard Protocol

At its core, the Aboard protocol is designed to be a comprehensive platform for decentralized derivatives trading.It comprises two key components:

Order-Book Decentralized Derivatives Exchange: This is the heart of the Aboard platform, providing a traditional order-book interface for trading perpetual contracts and other derivatives.
Advisory Protocol: This aims to further the development of the crypto derivatives market and related asset management businesses.While specifics on the advisory protocol are still emerging, it suggests Aboard's ambition to offer a more complete suite of services.

The combination of these two components positions Aboard as more than just a trading platform.It aspires to be an ecosystem that fosters the growth and maturity of the decentralized derivatives market.

Key Features of Aboard Exchange

What makes Aboard stand out from other decentralized exchanges? Aboard exchange is now live on Arbitrum One, making it the first order book decentralized derivatives protocol on Arbitrum Mainnet. With L2 solutions and the order book mechanism, the AboardSeveral key features contribute to its unique value proposition:

Order-Book Mechanism: Unlike many DeFi exchanges that rely on AMMs, Aboard utilizes an order-book system. Aboard Becomes the First Order Book Derivatives Protocol on Arbitrum -This allows traders to place limit orders, market orders, and other sophisticated order types, mirroring the functionality of centralized exchanges.
L2 Scaling on Arbitrum: By deploying on Arbitrum One, Aboard leverages the benefits of Layer-2 scaling. As such, Aboard exchange has become the first order book decentralized derivatives protocol deployed on Arbitrum Mainnet. Aboard is basically designed to be a full-variety, efficient, and multi-functional platform that brings centralized trading experiences into the DeFi world.This results in significantly lower transaction fees and faster execution times compared to trading directly on the Ethereum mainnet.
Perpetual Trading: Aboard focuses on perpetual contracts, which are derivatives contracts that have no expiration date.This allows traders to maintain positions indefinitely, profiting from price movements over the long term.
Low Slippage: The order-book mechanism, combined with Arbitrum's high throughput, enables Aboard to offer low slippage, meaning that traders can execute large orders without experiencing significant price impact.

These features collectively contribute to a trading experience that is more efficient, cost-effective, and familiar to experienced traders who are accustomed to centralized exchanges.

Why Arbitrum?The Power of Layer-2 Scaling

The decision to launch Aboard on Arbitrum One was a strategic one, driven by the need for scalability and cost-effectiveness in the DeFi space.Arbitrum is a Layer-2 scaling solution for Ethereum, designed to address the limitations of the mainnet, such as high gas fees and slow transaction speeds.

Benefits of Arbitrum for Aboard

Reduced Gas Fees: Arbitrum significantly reduces the cost of transactions compared to Ethereum mainnet.This is crucial for derivatives trading, where frequent transactions are common.
Faster Transaction Speeds: Arbitrum offers much faster transaction confirmation times, enabling traders to react quickly to market movements.
Ethereum Compatibility: Arbitrum is fully compatible with the Ethereum Virtual Machine (EVM), making it easy for developers to port existing Ethereum-based applications and smart contracts.
Growing Ecosystem: The Arbitrum ecosystem is rapidly growing, with a large and active community of developers and users. With L2 solutions and the order book mechanism, the Aboard exchange becomes one of the most efficient exchanges that provide a smooth perpetual trading experience [ ] Aboard Becomes the First Order Book Derivatives Protocol on Arbitrum - Securities.ioThis provides Aboard with a strong foundation for future growth and integration with other DeFi protocols.

By leveraging Arbitrum, Aboard can offer a superior trading experience that is both affordable and responsive, attracting a wider range of users to the platform.

Order-Book vs.AMM: A Paradigm Shift in DeFi Derivatives

The choice of an order-book mechanism over the more common Automated Market Maker (AMM) model is a key differentiator for Aboard.AMMs have become popular in DeFi due to their simplicity and permissionless nature.However, they also have limitations that can hinder the trading experience, especially for derivatives.

Limitations of AMMs in Derivatives Trading

Impermanent Loss: Liquidity providers in AMMs are exposed to impermanent loss, which occurs when the price of the assets in the pool diverges from the price at the time of deposit.This can reduce the profitability of providing liquidity.
Slippage: AMMs can suffer from high slippage, especially for large trades.This means that the actual price at which a trade is executed can be significantly different from the expected price.
Low Transaction Speed: While L2 solutions are helping, AMMs can still experience relatively slow transaction speeds compared to centralized exchanges or order-book based decentralized exchanges.
Limited Order Types: AMMs typically only support market orders, which execute at the best available price. Aboard exchange is now live on Arbitrum One, making it the first order book decentralized derivatives protocol on Arbitrum Mainnet. With L2 solutions and the order book mechanism, the Aboard exchange becomes one of the most efficient exchanges that provide a smooth perpetual trading experience with low slippage and low trading costs.They do not offer the ability to place limit orders or other advanced order types.

Advantages of Order-Book Mechanism

The order-book mechanism addresses these limitations by providing a more traditional and flexible trading environment.

Precise Price Discovery: Order books allow for more precise price discovery as buyers and sellers can directly place orders at specific prices.
Advanced Order Types: Traders can use a variety of order types, such as limit orders, stop-loss orders, and take-profit orders, to manage their risk and optimize their trading strategies.
Lower Slippage: Order books typically offer lower slippage than AMMs, especially for large trades.
Suitable for Quantitative Strategies: The order-book structure is better suited for quantitative trading strategies that rely on precise price data and order execution.

Aboard's decision to use an order-book mechanism reflects its commitment to providing a sophisticated and efficient trading experience that caters to both experienced traders and institutional investors.

The Vision: Bridging the Gap Between CeFi and DeFi

Aboard's ambition extends beyond simply creating a decentralized derivatives exchange. Combining the order book and L2 rollup solution allows Aboard to bootstrap most market trading volume. The order book is more suitable for most quantitative strategies as AMM suffers from impermanent loss, slippage, and low transaction speed.The protocol aims to bridge the gap between centralized finance (CeFi) and decentralized finance (DeFi), bringing the best of both worlds to the crypto trading community.

Bringing Centralized Trading Experiences to DeFi

Aboard seeks to replicate the user experience and functionality of centralized exchanges while maintaining the core principles of decentralization, such as transparency, security, and permissionlessness.

Familiar Interface: The order-book interface is familiar to traders who have used centralized exchanges, making it easier for them to transition to the DeFi world.
Advanced Trading Tools: Aboard provides a range of advanced trading tools and features, such as charting, order management, and risk management, that are typically found on centralized exchanges.
Institutional-Grade Infrastructure: Aboard is built on a robust and scalable infrastructure that can handle high trading volumes and complex trading strategies.

By offering a trading experience that is both familiar and sophisticated, Aboard aims to attract a wider range of users to the DeFi derivatives market, including institutional investors and professional traders.

Practical Examples and Use Cases

To understand the potential of Aboard, let's consider some practical examples and use cases.

Hedging Risk

A trader who holds a significant amount of Bitcoin can use Aboard to hedge against potential price declines by shorting Bitcoin perpetual contracts. British Virgin Islands, British Virgin Islands, 14th March, 2025, Chainwire Aboard exchange is now live on Arbitrum One, making it the first order book [ ] Followers SubscribersThis allows the trader to protect their portfolio from losses without having to sell their Bitcoin holdings.

Speculation

Traders can use Aboard to speculate on the future price movements of cryptocurrencies by taking long or short positions in perpetual contracts. [PRESS RELEASE The British Virgin Islands, British Virgin Islands, 14th March 2025]The leverage offered by perpetual contracts can amplify potential profits, but also increases the risk of losses.

Arbitrage

Arbitrageurs can use Aboard to profit from price discrepancies between different exchanges or markets. Aboard protocol, an order book derivatives exchange, and an advisory protocol that aims to provide users with a comprehensive trading experience has launched its exchange on the Arbitrum One. As such, Aboard exchange has become the first order book decentralized derivatives protocol deployed on Arbitrum Mainnet. Aboard is basically designed toBy simultaneously buying and selling the same asset on different platforms, arbitrageurs can capture small profits with minimal risk.

Quantitative Trading

Quantitative traders can use Aboard's order-book mechanism to implement sophisticated trading strategies that rely on precise price data and order execution. With L2 solutions and the order book mechanism, the Aboard exchange becomes one of the most efficient exchanges that provide a smooth perpetual trading experience [ ]These strategies can involve algorithmic trading, high-frequency trading, and other advanced techniques.

These are just a few examples of how Aboard can be used by traders and investors to manage risk, generate profits, and participate in the DeFi derivatives market.

Addressing Common Questions

Here are some common questions that people have about Aboard and its launch on Arbitrum:

What are the benefits of using Aboard over a centralized exchange?

Aboard offers several benefits over centralized exchanges, including:

Transparency: All transactions on Aboard are recorded on the blockchain, providing transparency and auditability.
Security: Aboard is non-custodial, meaning that users retain control of their funds at all times.
Permissionlessness: Anyone can use Aboard without needing to register or provide personal information.
Decentralization: Aboard is governed by a decentralized community, ensuring that the platform remains open and accessible to everyone.

What are the risks of using Aboard?

Like any DeFi platform, Aboard carries certain risks, including:

Smart Contract Risk: Aboard relies on smart contracts, which could be vulnerable to bugs or exploits.
Liquidation Risk: Trading perpetual contracts involves leverage, which can amplify both profits and losses.Traders could be liquidated if their positions move against them.
Market Risk: The price of cryptocurrencies can be highly volatile, and traders could lose money if the market moves against their positions.

How can I get started using Aboard?

To get started using Aboard, you will need:

A web3 wallet, such as MetaMask.
Some ETH in your wallet to pay for transaction fees on Arbitrum.
Some USDC or other collateral to trade perpetual contracts.

Once you have these requirements, you can connect your wallet to the Aboard platform and start trading.

The Future of Aboard and Decentralized Derivatives

Aboard's launch on Arbitrum represents a significant step forward for the decentralized derivatives market.By combining the order-book mechanism with L2 scaling, Aboard is providing a trading experience that is more efficient, cost-effective, and accessible to a wider range of users.

Potential Developments

Looking ahead, Aboard has the potential to further innovate and expand its offerings in several ways:

New Derivative Products: Aboard could introduce new types of derivative contracts, such as options, futures, and swaps.
Cross-Chain Compatibility: Aboard could expand its platform to support other blockchain networks, allowing traders to trade derivatives on a wider range of assets.
Integration with Other DeFi Protocols: Aboard could integrate with other DeFi protocols, such as lending platforms and yield aggregators, to offer users more comprehensive financial services.
Governance Token: Aboard could launch a governance token, allowing users to participate in the decision-making process and shape the future of the platform.

As the DeFi ecosystem continues to evolve, Aboard is well-positioned to be a leading player in the decentralized derivatives market, driving innovation and bringing the benefits of DeFi to a wider audience. Aboard Becomes the First Order Book Derivatives Protocol on Arbitrum Ripple XRP [PRESS RELEASE The British Virgin Islands, British Virgin Islands, 14th March 2025] Aboard exchange is now live on Arbitrum One, making it the first order book decentralized derivatives protocol on Arbitrum Mainnet.The success of Aboard as the first order-book derivatives protocol hinges on its ability to maintain a secure, efficient, and user-friendly platform while adapting to the ever-changing demands of the DeFi landscape.

Conclusion: Key Takeaways

Aboard's emergence as the first order-book derivatives protocol on Arbitrum is a watershed moment for DeFi.This innovative platform is poised to revolutionize the way derivatives are traded in the decentralized world, offering a compelling alternative to AMM-based solutions. British Virgin Islands, Ma The Aboard exchange is now live on Arbitrum One, making it the first order-book decentralized derivatives protocol on the Arbitrum mainnet.Key takeaways include:

Aboard leverages the power of Arbitrum's L2 scaling to provide low-cost, high-speed transactions.
The order-book mechanism offers a more efficient and familiar trading experience compared to AMMs.
Aboard aims to bridge the gap between CeFi and DeFi, attracting a wider range of users to the platform.

By combining these elements, Aboard is paving the way for a more mature and sophisticated DeFi derivatives market.It will be fascinating to watch how Aboard evolves and impacts the broader DeFi ecosystem in the years to come. British Virgin Islands, British Virgin Islands, 14th March, 2025, Chainwire Aboard exchange is now live on Arbitrum One, making it the first order book decentralized derivatives protocol on Arbitrum Mainnet. With L2 solutions and the order book mechanism, the Aboard exchange becomes one of the most efficient exchanges that provide a smooth perpetual trading experience [ ]Consider exploring the platform, researching perpetual contracts, and engaging with the Aboard community to learn more about this groundbreaking protocol.The future of DeFi derivatives is here, and Aboard is leading the charge.