DeepBook, the Sui native central limit order book (CLOB) DEX DeepBook built by MovEX and the Sui Foundation, is completing final testing and is expected to be launched in a few weeks. Community builders are currently invited to integrate and test DeepBook. Application builders can now Its application integrates with DeepBook to be ready when the order book is fully tested and trading begins.
According to previous news, Sui’s decentralized exchange MovEX and the Sui Foundation jointly built DeepBook to bring deep liquidity to all DeFi protocols on Sui and will cooperate with top market makers to provide better liquidity depth. And DeepBook has been merged into Sui's official framework. According to news in April, the MovEX team has completed the basic construction of DeepBook. DeepBook requires no permission and is fully integrated into Sui's framework. DeepBook documentation is publicly available.
Introduction to DeepBook
A robust financial system requires liquidity, and users must be able to trade their assets easily and efficiently. In traditional finance, this role is filled by centralized exchanges such as the New York Stock Exchange and Nasdaq. In decentralized finance, this role is played by decentralized exchanges, which often take the form of automated market makers (AMMs) or central limit order books (CLOBs).
AMM is a direct liquidity method where smart contracts establish a liquidity pool for a specific asset. The exchange rate is determined by the quantity of each asset in the pool and the total value of the pool. Transactions are submitted at a set price and assets are exchanged immediately.
CLOB, on the other hand, is a transaction execution model where both sides of the transaction must be matched by the system. Buy and sell orders are submitted at market price or limit price (a specific price the trader desires), and the matching engine executes the order when both parties' conditions are met. In Sui, the order book DeepBook lives on-chain, with complete visibility into order flow, the depth of the order book, and the order matching process.
DeepBook is a public CLOB that forms Sui’s basic liquidity layer. DeepBook’s goal is to ensure that all developers interested in developing financial products on Sui have available liquidity. Just as traditional financial exchanges support financial activities such as financing, trading, and market making, DeepBook will provide liquidity for Sui’s many on-chain financial applications.
DeepBook is considered a public good for the Sui community, with a focus on execution and user experience rather than monetization. For this reason, it does not have a token associated with it, nor are there any barriers for users to transact on it or integrate with the applications.
How can you help DeepBook?
DeepBook's codebase was originally developed by MovEX and has now been merged into Sui Network, becoming an integral part of the Sui framework. Like the rest of the Sui Network, it is open source and welcomes community contributions.
While DeepBook’s codebase has been fully audited by an outside, independent party, DeFi builders in the Sui community can help ensure the performance and security features DeepBook needs to succeed. You can integrate DeepBook with your own applications, provide feedback and contribute by reporting issues and sending pull requests on GitHub.
Community members can also use the Sui improvement suggestion process to contribute and collectively decide on their next steps.
Liquidity is pouring into assets on Sui
The final weeks of testing should open the door to Sui’s liquidity, and by then, Sui’s on-chain financial ecosystem will be ready, allowing users to create new trading pairs and exchange assets directly, and enable more applications to integrate with DeepBook to Take advantage of its depth and liquidity.
