DeriW Testnet Launch Sets New Standards in Decentralized Derivatives Trading

Singapore, March 11, 2025 — DeriW, the world’s first zero-gas-fee decentralized perpetual exchange, has officially launched its public testnet, marking a pivotal step toward a new era of DeFi derivatives trading. This testnet isn’t a generic trial run — it’s a full-featured preview of DeriW’s high-performance, user-centric platform, designed to demonstrate concrete improvements in usability, speed, and security. Early users and developers can now experience lightning-fast trades, up to 100x leverage, and robust security measures in a realistic environment as DeriW prepares to challenge industry incumbents.

A Closer Look at the Testnet: Usability, Performance & Security

DeriW’s testnet is engineered to feel like a production-ready exchange. Usability is front and center: traders can connect their self-custody wallets and immediately start trading major cryptocurrencies like Bitcoin and Ethereum with up to 100x leverage and a low 0.1% fee per transaction. The platform supports an array of order types (market, limit, take-profit, stop-loss) to accommodate diverse strategies, and a wide selection of tokens (from blue-chips to emerging assets) is available to explore. Thanks to the zero gas fee design, every trade on the testnet incurs no blockchain transaction cost — a significant usability boost that removes the friction users often face on Ethereum-based DEXs. This means users can place orders rapidly without worrying about gas, making the trading experience as smooth as on a centralized exchange.

On the performance front, the DeriW testnet showcases the platform’s cutting-edge infrastructure. Built on the Arbitrum Orbit Layer 3 network (DeriW Chain), it leverages optimistic rollup technology and a custom WASM/Geth-based architecture. In practical terms, this translates to extremely high throughput and low latency. The initial testnet launch already demonstrated support for around 7,000 transactions per second with near-instant confirmations. Following ongoing optimizations, DeriW is pushing that performance even further — targeting up to 80,000 transactions per second in its current iteration. This level of speed is orders of magnitude beyond typical blockchain throughput and ensures that even during peak trading bursts, the platform remains responsive. Traders on the testnet can expect minimal lag when executing orders, a critical factor for high-frequency and leveraged trading.

Security measures are woven deeply into the testnet’s design, reflecting DeriW’s priority on protecting users. By building on Arbitrum’s L3, DeriW inherits Ethereum’s battle-tested security properties and decentralization while adding its own enhancements. All trades and collateral remain on-chain under users’ self-custody, eliminating the custodial risks found in centralized exchanges. To further harden the platform, DeriW launched a comprehensive bug bounty program in tandem with the testnet. Security researchers and users are incentivized with bounties ranging from 100 to 100,000 $DER tokens for identifying vulnerabilities. Additionally, the testnet operates with a closed-fund liquidity mechanism and an automatic risk recalibration system that ensure stability even under extreme market conditions. In practice, traders must pre-subscribe and lock funds into the liquidity pool, which prevents ad-hoc liquidity shortfalls and keeps the system solvent while it’s being battle-tested. These concrete measures give testnet participants confidence that the platform’s performance comes without compromising safety.

How DeriW Stacks Up

In an increasingly competitive DeFi derivatives arena, DeriW’s testnet is already demonstrating unique advantages over other leading platforms’ test networks:

• Gas Fees & Trading Costs: DeriW distinguishes itself with its zero gas fee model. Every trade on DeriW’s testnet is executed without on-chain transaction fees, which is a stark contrast to many competitors. Other perpetuals DEXs require traders to pay L2 gas for each transaction, adding friction to frequent trading. There are also those which introduce their own network fees, and while they are lower than Ethereum L1, they are not entirely eliminated. Some newer high-performance DEXs, also advertise gasless trading through meta-transactions or off-chain matching. DeriW’s approach of truly on-chain, gas-free trading gives it an edge in user experience — traders get the convenience of a CEX-like feel without sacrificing on-chain transparency.
• Performance Throughput: When it comes to raw speed and capacity, DeriW’s architecture sets a high bar. The testnet’s target of ~80,000 TPS is an exceptional figure for a decentralized exchange. By comparison, there are DEXs with a new standalone chain built to handle roughly 10,000 TPS in throughput — a significant improvement over older Ethereum-based DEXs, but still only an eighth of DeriW’s goal. DeriW’s 80k TPS range puts it in elite position with these next-gen exchanges, ensuring it can support high-frequency trading and large volumes. The key difference is that DeriW achieves this scale while remaining EVM-compatible and leveraging Ethereum’s security, thanks to the Arbitrum Orbit framework. This balance of speed and security is a distinguishing factor that could make DeriW stand out as its testnet proves its throughput under real user load.
• Leverage and Trading Features: High leverage is a hallmark of derivative exchanges, and DeriW doesn’t disappoint. It offers up to 100x leverage on major trading pairs, which is higher than most decentralized competitors. A known DEX, for instance, initially capped leverage around 30x on its markets, and even after community-driven increases, tops out at about 50x maximum leverage. By providing 100x, DeriW is catering to a segment of traders who seek higher risk-reward profiles, similar to offerings on some centralized futures exchanges. Importantly, DeriW couples this with advanced order types (stop-loss, take-profit, etc.) on the testnet, ensuring traders have tools to manage the risk that comes with high leverage. This combination of flexibility and control is critical — and DeriW is showing that even in a testnet environment, users can practice sophisticated trading strategies that rival those on established platforms.
• Liquidity Model & Price Execution: Perhaps the most innovative aspect where DeriW differentiates itself is its Pendulum AMM liquidity pool design. Instead of using a traditional order book, or a static AMM + oracle model, DeriW’s liquidity pool dynamically adjusts to traders’ positions. This “pendulum-style” mechanism means liquidity swings to where it’s needed, allowing the pool to support trading volumes beyond the initial capital by optimizing asset utilization in real time. The benefit is minimal slippage and deeper effective liquidity for traders. Orderbook-based DEXs rely on market makers to fill orders; they can usually provide good pricing, but in thin markets or sudden volatility, slippage and spread widening can occur. DeriW’s testnet will showcase whether its novel liquidity engine can truly combine the best of both worlds — the depth of an order book with the automated efficiency of an AMM. Early indications are promising: the closed fund subscription and automatic risk recalibration ensure the pool remains solvent and balanced, which is a strong safeguard against the wild swings that have caused issues on other platforms in the past.
• Security and Decentralization: All leading DeFi derivatives platforms prioritize security, but they employ different methods. Others have a decentralized validator set securing it, there’s also a different DEX that uses its own consensus with presumably a federation of validators, while another competitor DEX inherits security from the Arbitrum Layer 2. DeriW’s approach is to anchor on the robust security of Ethereum (via Arbitrum’s rollup tech) while adding customized safeguards. Every trade on DeriW is transparent and verifiable on-chain, and users hold their keys at all times — aligning with the self-custody ethos that other competitor DEXs also embrace. However, DeriW’s extra mile is seen in its aggressive bug bounty and testing culture during testnet. By actively inviting the community to probe its contracts and infrastructure (with significant rewards on the line), DeriW is aiming to catch and fix issues now, rather than after mainnet launch. This proactive stance, combined with the inherent security design, positions DeriW to potentially emerge from its testnet phase as one of the most battle-hardened and trustworthy platforms among its peers.

Benchmarks and Performance Metrics in Context

Thanks to Arbitrum Orbit’s efficient consensus and block production, DeriW’s block time is expected to be on the order of a second or less, which is similar to other DEXs 0.2s block time advantage. Achieving near-instant finality is crucial for traders who might otherwise worry about timing and MEV (Maximal Extractable Value) issues. Although detailed latency stats are still being gathered, the user experience goal is clear: make on-chain trading on DeriW feel as immediate as trading on a centralized platform.

Another important metric is uptime and reliability during the test. The DeriW team is closely monitoring system uptime and recovery from any crashes or network issues. A robust exchange must handle network spikes, degraded conditions, or attacks without downtime. By publishing these performance metrics and comparing them with industry standards, DeriW intends to demonstrate transparently where it stands. So far, the absence of gas fees and high throughput capacity on testnet have enabled continuous trading even when simulating thousands of concurrent users — something that might clog less scalable testnets. The platform is also tracking how its automatic risk controls (like the pendulum mechanism) perform quantitatively: e.g., maintaining targeted liquidity levels, keeping slippage near zero, and ensuring the funding rates and PnL (profit and loss) for liquidity providers stay within expected bounds. These technical benchmarks, once validated on testnet, will serve as proof points that DeriW can handle real-world volumes and stress when it goes live.

Expected Outcomes & Next Steps Before Mainnet Launch

The testnet phase is not just a demo for DeriW — it’s a critical period for learning and refining. Expected outcomes from this phase include gathering user feedback on the trading interface and features, identifying any bugs or vulnerabilities, and optimizing performance under real conditions. DeriW is also watching how traders interact with the new liquidity model: insights on user behavior (like preferred leverage levels, popular trading pairs, response to zero fees) will inform any adjustments to fee structures or risk parameters. The generous incentive programs running during testnet — a 1000 $DER token airdrop for newcomers and weekly trading competitions with $50,000 USDT in rewards are not only marketing tactics but also ways to stress-test the platform with active participation. By encouraging a high volume of test trades, DeriW can observe how the system performs when scaled up, and ensure the user experience remains smooth even when many are trading simultaneously.

Several improvements are slated as a result of the testnet findings. The development team is treating this phase as an open dialogue with users — feedback loops are in place via community channels and support forums, ensuring that issues raised by testers are prioritized in development sprints.

By Q2 2025, DeriW aims to graduate from testnet to a full mainnet launch. The mainnet release will coincide with the Token Generation Event (TGE) for the $DER token, officially bringing the platform’s economic and governance model to life. Before flipping that switch, DeriW expects to have fine-tuned its smart contracts, bolstered its infrastructure , and polished the user interface to incorporate any improvements identified during testing.

Looking beyond mainnet, the roadmap hints at an ambitious growth trajectory: by Q3 2025, DeriW intends to open a professional-grade API for algorithmic traders and support custom trading pairs, and by Q4 2025, to cultivate a global trader community and more efficient user experience through community-driven initiatives. Each of these milestones will be built on the foundation laid during the testnet.

Engaging the Community and Conclusion

Throughout this process, DeriW is keeping the community engaged and informed. Regular updates on testnet progress, transparent sharing of performance stats, and active social media communication are all part of ensuring users feel involved in the platform’s evolution. Early adopters who participate in the testnet stand to gain (beyond just rewards) valuable experience with DeriW’s trading system, positioning them ahead of the curve when the mainnet goes live. The DeriW team, backed by the seasoned CoinW exchange group, brings years of industry experience — and it shows in how meticulously this testnet is being run as a dress rehearsal for prime time.

In conclusion, DeriW’s testnet launch is far from generic; it’s a bold demonstration of a DeFi derivatives exchange that aspires to combine the best attributes of its predecessors while introducing fresh innovations. By measuring itself against DEX industry leaders, DeriW is making a statement that it’s ready to claim a spot at the forefront of decentralized trading. As the testnet phase unfolds, all eyes in the crypto community will be on the performance and resilience of this new platform. The coming months up to mainnet will be crucial, and based on current progress, DeriW is on track to turn its testnet momentum into a successful launch that could reshape the landscape of on-chain derivatives trading. Stay tuned as DeriW moves from testnet to mainnet, carrying forward the insights and confidence gained during this trial by fire.