Onchain Perpetual Futures Narrow Execution Gap With Centralized Exchanges, Report Says
(1 day ago) · 1 source · Summarized by CryptoBipto — how we make this
Castle Labs has reported that onchain perpetual futures platforms are closing the execution quality gap with centralized exchanges. The findings suggest that decentralized trading infrastructure has improved significantly in areas such as latency, slippage, and order execution.
WHY IT MATTERS
When you trade on a centralized exchange, a company runs the platform and matches your trades on its own servers, much like a traditional stock brokerage. Decentralized exchanges, by contrast, run on blockchains, meaning trades are processed by smart contracts rather than a central company. Think of it like the difference between buying something at a store (centralized) versus using a vending machine that no one owns (decentralized). Decentralized platforms have traditionally been slower and more expensive to use, but this report suggests they are catching up. For newcomers to crypto, this matters because better decentralized trading tools could give users more options for trading without needing to trust a single company with their funds.
Read the full analysis with a CryptoBipto membership
Members can read the full analysis of every story, not just the headline.
Get startedSOURCES
RELATED
Learn the concepts behind this
Clear explanations of the subjects this article touches, with every term defined.
- What is DeFi, and how does decentralized finance work?Decentralized finance explained: liquidity pools, yield farming, impermanent loss, DAOs and governance tokens, each with its own definition page.
- How do crypto trading and market structure work?How crypto markets are actually built — spot and futures, margin and leverage, liquidation, market makers, spreads and slippage — explained term by term.
- How do you buy cryptocurrency safely?How crypto exchanges, verification, on-ramps and order types work, so you understand each step of a first purchase before you make one.