Primex Finance is a prime brokerage that enables spot margin trading across decentralized exchanges (DEXs) and blockchains.
We are building a community-managed protocol in the decentralized finance (DeFi) sector, an ecosystem of openly accessible financial services operating without middlemen.
Our goal is to connect lenders directly with traders on Primex as part of a one-stop solution that combines two of decentralized finance technology’s most critical use cases.
How did you come up with the idea for the company?
Fascinated by the idea of Web3, the movement that aims to democratize and decentralize the internet, we believe in automation and that people should be able to exchange value without middlemen.
A growing number of financial products are shifting towards decentralized environments, where trading and lending have become primary activities. However, we have identified a gap between them, as lenders cannot borrow funds from lenders for spot margin trading on DEXs.
To solve these issues, we are building a protocol on top of multiple DEXs that acts as a bridge between lenders and margin traders.
More from Interviews
- Meet Erik Wikander, CEO and Co-Founder At Content Marketing Platform: Zupyak
- Monica Eaton, Founder and CEO of Chargebacks911 and Women In Tech Judge, Explains What She’s Looking for From Entrants
- Meet Owen Thompson, CEO of Cambridge Future Tech
- Investor Insights: Everything You Need To Know About Index Ventures
- Investor Insights: Everything You Need To Know About Downing Capital Group
- Meet Sheryl Cuisia, CEO and Co-Founder, The Engagement Appeal
- Investor Insights: Everything You Need To Know About Sure Valley Ventures
- Meet Lenitha Bishop, Chief Operating Officer At The DPO Centre.
How are you building a completely decentralized trading system?
At this stage of development, it’s common to see Web3 startups still using centralized components on their platforms. However, we consider this a temporary, transitional phase. And as true believers in decentralization, our mission is to completely eliminate centralized components and create a truly permissionless trading experience on Primex.
A key highlight here includes how trades are executed on our platform. While general actions can be automated with self-executing digital agreements called smart contracts, they don’t execute themselves when someone needs to make a transaction to change the system’s state in blockchain networks.
We could solve this issue with a centralized component like an order book. But instead, we are building a decentralized layer of keeper bots to execute all trades on Primex.
What do you think makes Primex unique?
A few DEXs offer leveraged trading on the DeFi market but exclusively on their platforms and through the use of derivatives and centralized components like order books.
So, it’s safe to say that Primex has no direct competitors in the DeFi market, as we are building a fully decentralized protocol that offers spot margin trading with permissionless order execution and community governance.
Also, Primex will be compatible with a wide range of DEXs across multiple blockchains instead of operating as a siloed exchange where users can’t interact with traders on other platforms.
Furthermore, we are pioneering an AI-based scoring mechanism for traders, which will be a unique solution in the DeFi sector.
What can we hope to see from Primex in the future?
One key highlight of our roadmap includes the AI-powered trader scoring mechanism I’ve just mentioned. Here, community-nominated members called trader notaries will analyze traders’ historical performance and provide them a score.
The higher this score, the more opportunities a trader can access on the platform. Because of this, we believe the scoring mechanism will add a lot of flexibility for parties that exchange value without any middlemen on Primex.
We are also looking forward to deploying Primex on multiple blockchains and integrating with several DEXs in the future, which will allow us to defragment the DeFi market.