Solana’s on-chain DeFi protocol Drift plans to restart after an 8-month hiatus due to the Terra crash.
Drift will launch its improved second version, Dirft Version 2, on Friday (December 23), aiming to become a one-stop cryptocurrency trading platform that can cover all DeFi transaction types.
Drift co-founder Cindy Leow said Drift’s redesigned execution mechanism should reduce slippage on large trades. Rather than relying solely on market makers or automated market makers (AMMs) to complete buy and sell trades, v2 sends trades through three liquidity layers to find the best price.
The first step, called a "flash auction," lets market makers compete to fill orders. If they drop the trade, Drift's AMM will take it. Meanwhile, the protocol's order book stands by to fill the trade when the price is right. (CoinDesk)
