Maybe dumb, maybe awesome centralized exchange architecture:
- l2 for the market with a centralized sequencer
- on top of a fast l1 like solana (you MUST have fast block production otherwise you have serious risk issues for closing positions and dealing with liquidations as markets move)
- keep centralized custodian (too many compliance benefits from being a qualified custodian to not do that and it’s no different than usdc anyway)
- all assets traded on exchange are minted from the custodian as wrapped assets onto solana for deposits and withdrawals to/from the l2