On-chain Perpetual Swaps Trends in 2022 and Post-FTX

Perpetual futures (perps) are financial contracts with no expiry dates that enable traders to take capital-efficient directional positions and are among some of the most popular products in crypto.

Centralized exchanges (CEXs) are the go-to venues where people trade perps due to better liquidity compared to their on-chain counterparts. But as one of the industry’s largest CEXs collapsed, there was a case to be made for on-chain perps exchanges to take a large portion of the market share and user base left by FTX.