Surf Protocol Perpetual Trading on MerlinChain: A New Era for the BTC Ecosystem

Celebrating the Launch

To mark its debut, Surf Protocol has introduced a points program and a referral program to reward early traders and liquidity providers (LPs). Additionally, early users of the BTC and MerlinChain ecosystems can look forward to some exciting surprises.

Background of Surf Protocol

Surf Protocol was created with the vision of establishing a superior decentralized platform for trading derivatives and perpetual contracts, while also providing opportunities for earning yields as LPs. The goal was to design a product that meets the specific needs of BTC users, thereby unlocking the significant, untapped Total Value Locked (TVL) within the BTC ecosystem.

Key Features of Surf Protocol

1. Delta Neutral LP Pools

Surf Protocol has pioneered an LP vault design that enables single coin staking and single coin earnings. This design allows LPs to retain 100% of their staked Bitcoin or other assets, effectively mitigating the risk of impermanent loss.

2. Bitcoin-Native Assets as Collateral

To enhance the trading experience within the Bitcoin ecosystem, Surf Protocol supports various Bitcoin ecosystem L1 and L2 native assets as collateral for trading.

3. Secure, Transparent Transactions with 24/7 Customer Service

All transactions on Surf Protocol are settled on-chain, ensuring maximum transparency and security. Furthermore, the platform offers round-the-clock customer service in both English and Chinese, providing a CEX-like experience to resolve any issues promptly.

Points System

Surf Protocol aims to become the preferred platform for on-chain perpetual traders and LP providers. Users can earn Surf Points (SP) through various activities, including trading, providing liquidity, supporting the platform from its early days, and participating in the referral program.

For Traders:

• The more you trade on Surf, the more points you earn.
• $1 USD trading volume = X Surf Points (X = 2 at the mainnet launch, dynamically adjusted based on total trading volume).

For LP Providers:

• The more and longer you stake, the more points you earn.
• Staking $100 USD per day = Y Surf Points (Y = 50 at the mainnet launch, dynamically adjusted based on total amount staked).

Early Supporters:

• Earn Airdrop Surf Points as early users of the Base product.

Referral Program Participants:

• Earn Referral Surf Points equal to 0.1 × Total Trading Surf Points of all invited users.

For detailed information, visit the Surf Points documentation.

Referral Program

Surf Protocol’s referral program offers users fee discounts and rebates. Users can create unique referral codes and links via Surf Referral.

• Referrers receive a 10% commission on the trading fees of the users they referred.
• Joining Surf with a friend’s referral link provides a 5% discount on trading fees.
• Users who refer over $5M in 30-day volume or have 5,000+ social media followers can qualify as Surf Ambassadors. Apply here to become a Surf Ambassador.

Available Perpetual Trading Pairs

Surf Protocol supports a diverse range of perpetual trading pairs, catering to different trading strategies and preferences. The available pairs include:

• BTC/USD
• ETH/USD
• DOG/USD
• MERL/USD
• ORDI/USD
• SATS/USD
• BNB/USD
• NOT/USD
• WIF/USD
• PEPE/USD

Understanding Futures Contracts and Perpetual Futures

Futures Contract: A futures contract is an agreement to buy or sell an asset at a future date, standardized in terms of asset quality, quantity, price, delivery location, and date. Futures can cover a wide range of assets.

Perpetual Futures Contract: Perpetual futures contracts are innovative derivatives without an expiration date, tracking the underlying price from the main market. Introduced by BitMEX in 2016, these contracts allow for leveraged trading and risk management through funding payments.

Advantages of Decentralized Perpetual Futures Contracts

Many experienced traders are moving their perpetual trading on-chain to decentralized exchanges (DEXs) like Surf Protocol for several compelling reasons:

1. Decentralization: DEXs reduce the risk of hacking, server downtime, and interference from central authorities, offering security and autonomy over funds.

2. Anonymity: DEXs require less personal information, appealing to those who value privacy in their trading activities.

3. Accessibility and Inclusivity: DEXs are accessible to anyone with an internet connection and a cryptocurrency wallet, unlike some CEXs that may impose geographical restrictions or extensive verification processes.

4. Full Control Over Funds: Users retain full control over their funds, interacting directly with blockchain smart contracts, reducing the risk of theft or loss.

5. Lower Fees: DEXs can offer lower trading fees due to the absence of centralized entities, making trading more cost-effective.

6. No Single Point of Failure: DEXs are distributed across many nodes, reducing the likelihood of downtime compared to centralized exchanges.

7. Community Governance: Many DEXs allow token holders to vote on key decisions, aligning the platform with the interests of its users.

While DEXs present challenges like complex interfaces and lower liquidity, the benefits of decentralized trading drive the popularity of perpetual contracts on these platforms.

Bullish on The Future

Surf Protocol on MerlinChain is set to redefine perpetual trading within the BTC ecosystem. With its innovative features, secure on-chain settlement, and user-focused programs, Surf Protocol invites traders and LP providers to explore a new era of decentralized trading. For more details and to get

Disclaimer: The above article is for informational purposes only and does not constitute financial advice. The cryptocurrency market is volatile and unpredictable; always conduct your research before investing.