D8X received support from well-known VCs such as Polygon Ventures, Axelar Network, and Swissborg Ventures in the Pre-seed round of financing.

D8X, an institutional-grade decentralized exchange (DEX) protocol focused on providing services for derivatives on Polygon zkEVM, completed a $1.5 million Pre-seed round of financing in August 2023. This round of financing was led by Polygon Ventures, with participation from Axelar Network, Swissborg Ventures, Cogitent Ventures, Veris Ventures, G1 Ventures, Pragma Ventures, CryptoDiscover, SuDo Research, Block Consult, etc. The funds raised will help D8X officially launch its decentralized derivatives trading platform in the second half of 2023, providing a white-labeling solution for trading partners seeking to enter a strong derivatives market.

Polygon co-founder Sandeep Nailwal said: "DeFi is reshaping the future of finance, and projects like D8X are building infrastructure that will help traditional finance move towards Web3."

The bridge between CeFi and DeFi

Existing centralized institutions want to provide decentralized cryptocurrency derivatives to their clients without hiring experts to develop in-house market making and trading engines. D8X provides a white label solution for partners acting as brokers, who can earn revenue by running their own front end powered by the D8X trading engine and shared liquidity.

Financial Engineering on the Chain

D8X's carefully designed on-chain solutions reduce costs and provide more competitive products than centralized exchanges, such as cost-effective hedging, which is a prerequisite for building a high-function derivatives trading space. Contract trading allows other DeFi protocols to hedge effectively on the chain. As the first platform in DeFi to support linear, inverse and quanto (dual currency/quantitative) perpetual contracts at the same time, D8X perpetual contracts can be calibrated for a variety of assets and supports. At launch, Lido's ETH (stETH) liquidity pool enables liquidity providers to earn Lido income while earning DEXs income.

D8X is the first business-to-business (B2B) DEX protocol built on Polygon zkEVM, leveraging zero-knowledge proof technology to reduce transaction fees, increase security, and scale operations on both Polygon and Ethereum networks.

“D8X is part of Polygon 2.0’s innovative and community-driven journey in the zero-knowledge space,” said Hamzah Khan, Polygon’s Director of Growth.

As a fully decentralized DEX, D8X follows the regulatory guidance of FINMA, the Swiss financial market regulator.

Caspar Sauter, co-founder of D8X, said: "D8X's vision is to provide institutions with truly decentralized derivatives as a white label solution, and we thank all our investors for believing in D8X's vision. With the best financial engineering and risk management, D8X is changing the way decentralized derivatives are traded."

The development code base of D8X has been audited by PeckShield, and early versions have been audited by Hacken.

risk warning

Nothing in this article constitutes an offer, solicitation or advice to sell, buy or recommend securities or other products (tokens) or services, whether or not such securities, products (tokens) or services are mentioned in this article.

Original English material: https://medium.com/@d8x.exchange/polygon-backs-1-5m-institutional-dex-d8x-deal-betting-on-rise-from-cefi-to-defi-e3bff8ccbe95