Drift Protocol
Drift Protocol is a decentralized trading platform built on Solana. It offers perpetual futures, spot trading, and liquidity pools with high-speed execution and low costs.
What is Drift?
Drift Protocol is a Solana-based decentralized exchange (DEX) focused on derivatives and perpetual futures. It uses an on-chain orderbook and an Automated Market Maker (AMM) hybrid model to deliver deep liquidity and fast trading performance.
Core Features
- Perpetual futures with leverage up to 20x.
- Spot trading for major crypto assets on Solana.
- Liquidity pools where users can earn fees and rewards.
- Cross-margin trading and portfolio margin features.
- Low latency and high throughput powered by Solana blockchain.
Benefits
- Fast transactions with low gas fees.
- Permissionless and non-custodial access.
- Variety of markets with leverage options.
- Opportunities for liquidity providers to earn yields.
Risks
- Leverage trading increases risk of liquidation.
- Smart contract vulnerabilities may exist.
- Solana network outages could affect platform reliability.
- Market volatility impacts funding rates and liquidity.
Fees
| Fee Type | Details |
|---|---|
| Trading Fees | Maker and taker fees apply, generally lower than centralized exchanges. |
| Funding Rates | Dynamic, exchanged between long and short positions on perpetuals. |
| Network Costs | Minimal due to Solana’s low transaction fees. |
FAQs
Is Drift Protocol decentralized?
Yes, Drift is a fully decentralized exchange built on Solana, with non-custodial trading and settlement.
What products can I trade?
Drift offers perpetual futures, spot markets, and liquidity pool participation.
How do I start?
Connect a Solana-compatible wallet, deposit funds, and start trading directly through the Drift interface.