01 : Being Early Is Everything

Today, let’s talk about another PerpDEX I’ve been watching closely : 01Exchange

In PerpDEXs, the main ways to earn a significant amount of points are either by being early or by having a large portfolio size. Pair that with an efficient strategy, and that’s all you need.

What are 01 and N1 ?

N1 is a Layer 1 blockchain built for finance, especially trading and other high-frequency transactions. Its main value proposition is speed: 100,000+ transactions per second, sub-millisecond latency, and congestion-free execution.

This makes it well-suited for trading applications where speed matters.

01 is a PerpDEX built on top of N1, with the ambition of giving traders more options through products such as vaults that can long/short assets against others. It is built by traders, for traders.

Team

01 was initially built by the N1 team. The project started in 2022 on Solana with the ambition of becoming the Nasdaq of on-chain trading.

However, the team later realized that the infrastructure was not optimal for efficient trading, so they started building N1 and handed the development of 01 to Cited and a small team of five people.

Here is a short introduction from Cited :

The project is mostly self-funded, although there are a few angel investors as well as an Echo community round of around $500k.

Trading Fees

01 has a tiered trading fee system where fees depend on your 30-day trading volume.

Base fees for new users are :

• Maker orders (limit) : 0.01%
• Taker orders (market) : 0.035%

You can get a 5% reduction on all fees by signing up through this referral link

Roadmap

Recently, the team shared a roadmap with no strict order of execution. Right now, the priority remains delivering a trading venue with all the essential features and tight spreads.

Later on, the focus will shift toward scaling through different acquisition channels such as :

• A mobile app
• Real-world assets
• More gamified trading features like clans and trader competitions

Points program

The points program launched at the beginning of February, with a maximum supply of 10M points ending at the end of August.

The program is divided into three phases, each with different weekly distributions :

Private Mainnet :

• 375k points distributed every week
• Total: 3.75M points over 10 weeks

Public Mainnet Alpha :

• 296,875 points distributed weekly over 8 weeks
• Total: 2.375M points

Public Mainnet Beta :

• 156,250 points distributed weekly over 12 weeks
• Total: 1.875M points

I made a spreadsheet calculation model for the 10M total points supply. It’s very useful for estimating at what FDV your farming becomes profitable.

Example :

Let’s say you started farming with $100. A few weeks later, you accumulated 200 points, but it cost you $50.

200 ÷ 50 = $0.25 cost per point

According to the spreadsheet, a $0.25 cost per point would break even at a $25M FDV assuming a 10% airdrop allocation and 10M total points supply

My Final Thoughts

Right now, I’m farming 01 because I think the risk/reward is attractive, with decent upside potential and a relatively innovative roadmap.

For farming, I mostly generate volume through pair trading on ETH/BTC since they are the most liquid pairs and offer the highest leverage.

Pros

• Relatively easy to earn points
• You farm N1 exposure at the same time
• Decent team with limited investor dilution

Cons

• Fees are relatively high compared to other perps
• Uncertainty regarding the airdrop (no information besides points)
• Competition is growing quickly

As always, thank you for reading !

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Start earning points with a 5% fee reduction : https://01.xyz/ref/Maus

01 X : https://x.com/01Exchange

01 Discord : https://discord.gg/dr2NgsqkKH

N1 X : https://x.com/N1Chain

Roadmap : https://01.xyz/roadmap

Additional Sources :

N1 CEO interview : https://x.com/G0mj0/status/2016853675679817953?s=20

N1 blog : https://www.n1.xyz/blog

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Disclaimer: This is not financial advice, you need to do your own research !

01 : Being Early Is Everything was originally published in Coinmonks on Medium, where people are continuing the conversation by highlighting and responding to this story.