With the launch of the native decentralized Central Limit Order Book (CLOB) DeepBook , DeFi on Sui has opened a new chapter. Built by a group of Sui contributors, DeepBook provides a stable liquidity layer for the new generation of DeFi applications.
Through DeepBook, DeFi and other developers can find a ready-made liquidity layer that takes full advantage of Sui's consensus mechanism for optimal performance. Its open API allows developers to access apps and take advantage of asset transactions.
When DeepBook was launched, multiple exchanges used it to implement trading functions and provide liquidity for it. KriyaDEX , Turbos.Finance , Aftermath Finance , Cetus , Kairon Labs , and MovEX helped with testing and are still currently using DeepBook for their own services. DeepBook will be powered by Kairon Labs as its initial market maker, in addition to other liquidity providers.
DeepBook provides DeFi developers with a plug-and-play liquidity layer designed for the Sui network
DeepBook supports both sell-side and buy-side limit orders and market orders. DeepBook is released as an open source without permission. As a Move package, anyone can publish a liquidity pool to realize transactions between two assets. DeepBook has no token, and all fees collected will be destroyed. In addition, DeepBook is a public resource that provides audited, efficient code and common infrastructure for liquidity for DeFi developers.
means of transaction
As a CLOB, DeepBook supports sellers to trade at a specific price (often called a limit order) or a market order. Buyers can browse the DeepBook ledger to find the asset they want to buy. This model gives traders more freedom, allowing them to choose the price at which they buy and sell, in line with the traditional laws of supply and demand economics.
DeepBook's transparency and permissionless nature of the order process is in line with Sui's philosophy of fairness and decentralization. Users can view order details, order book depth and order matching process. Anyone can buy and sell on the exchange without restrictions.
Structure and composition
DeepBook consists of two key components: a core matching engine and an intelligent order routing engine. The matching engine uses an order book built from a pool of shared objects per asset. Order matching between assets happens on-chain, while routing engines process transactions off-chain.
For each trading pair of benchmark asset and quote asset, DeepBook creates a global shared pool to handle order placement, cancellation, and settlement. Under this architecture, transactions involving different trading pairs can be easily processed in parallel for maximum throughput.
Unfilled orders are stored in the liquidity pool. Taker orders will be filled instantly from available market maker orders in the same trade in which the order is submitted. Buy and sell orders are stored separately, and two-level nested Crit-bit Tree is used for efficient bit string storage.
The DeepBook SDK provides DeFi builders with transaction and exchange code snippets, exchange routes, and the basis for liquidity pool queries.
security
In the audit commissioned by MovEx , blockchain security firm Zellic tested DeepBook and prepared a report discussing its vulnerabilities and fixes. Zellic is audited against specific criteria, such as whether funds can be withdrawn from custodians, and whether an attacker can lock funds or gain an unfair trading advantage.
The audit also examined DeepBook modules for coding errors, logic errors, integration risks, and code maturity.
The company found four critical bugs, one medium bug and one low-level bug. For example, DeepBook allows orders with zero quantities, which could be exploited by malicious operators to launch a denial of service attack to destroy the system. All vulnerabilities discovered during the audit were successfully fixed with code changes.
Acknowledgments to contributors
MovEX originally designed and created DeepBook, then open-sourced and contributed it to Sui. Other contributors, including Mysten Labs , Jump , Kairon Labs , GSR , Wintermute , and Aftermath Finance , have all been instrumental in the development of DeepBook. Deep engagement from the community is critical to ensuring that DeepBook continues to evolve to meet the needs of Sui DeFi builders.
Contributors can also help DeepBook serve the Sui community and suggest improvements and features by exploring the documentation and SDK , and participating in the Sui improvement proposal process.
Looking forward to working with you to build the Sui ecosystem together!
About Sui Network
Sui is an L1 public chain redesigned and constructed based on first principles, aiming to provide creators and developers with a development platform capable of carrying the next billion users in Web3. Applications on Sui are based on the Move smart contract language and are horizontally scalable, allowing developers to support a wide range of application development quickly and at low cost. For more information: https://linktr.ee/sui_apac
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