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Perennial has unveiled Perennial Intents, an innovative intents layer for perpetual futures. This development aims to harmonize the fragmented liquidity landscape of DeFi, providing users with a centralized exchange trading experience directly on-chain. Perennial Intents is revolutionizing the trading landscape by tapping into both on-chain and off-chain liquidity sources, resulting in deeper markets, enhanced pricing, and a seamless trading experience that propels DeFi into the future.
DeFi’s Liquidity Fragmentation
“Perennial Intents arrive at a pivotal time for DeFi,” said Kevin Britz, Founder of Perennial. “Despite its growth, only a fraction of crypto’s order flow happens on-chain, most of which is fragmented across hundreds of L1s and L2s. The rise of appchains and isolated AMMs has led to over 100 chains with $10M+ in TVL (DeFiLlama), each operating its own siloed financial ecosystem. This fragmented liquidity leads to worse trade execution, with higher costs, increased slippage, and limited leverage opportunities.”
The team asserts that Perennial Intents tackle these challenges by merging order flow into a cohesive liquidity layer. Rather than scattering liquidity into isolated silos such as appchains or AMM pools, intent-based trading harmonizes order flow across various venues, resulting in a more unified and efficient ecosystem.
A Hybrid Model Shaping the Future of DeFi
While intents have been a part of the DeFi landscape for some time, Perennial Intents take it to the next level by integrating a multi-layered approach that fuses intent-driven off-chain order matching with on-chain AMM settlement. Perennial asserts that this innovative model enhances trading efficiency by integrating intent-driven order matching with on-chain automated market maker settlement.
The team asserts that this hybrid model ensures traders achieve optimal price execution while allowing solvers to flexibly manage liquidity without the burden of long-term collateral constraints—thereby unlocking deeper markets and enhancing overall efficiency.
One-Click Trading and the Everlasting Petals Initiative
In conjunction with Perennial Intents, the launch brings forth two exciting upgrades: seamless one-click trading and the innovative Perennial Petals points program. Traders are now empowered to trade through a unified collateral account seamlessly. Meanwhile, the Petals program incentivizes users by awarding points for their trading activities, offering an enticing 2x points boost during the initial launch phase.
The team at Arbitrum shared their excitement for the launch, highlighting the transformative potential of intent-based derivatives. “Perennial’s work with intent-based derivatives is transforming DeFi by aligning market interactions with users’ specific goals,” said Peter Haymond, Senior Partnerships Manager at Offchain Labs. “This approach lets users define their desired financial outcomes, enabling more efficient and personalized trading on Arbitrum.”.