Chapter 1: Introduction to Serum (SRM)

Today, we delve into the world of a promising cryptocurrency: Serum (SRM)!

OVERVIEW

As of now, decentralized finance (DeFi) holds approximately $70 billion in various protocols. The question arises: how sustainable is this growth on the Ethereum blockchain, especially with soaring network fees? Project Serum is proactively addressing this issue. While many yield farmers are drawn to dubious, food-themed DeFi protocols, Serum is quietly constructing a resilient DeFi framework. The recently launched Serum DEX represents the foundational element of this ecosystem. Fully compatible with Ethereum, Serum aims to become the leading decentralized exchange (DEX).

What is Serum?

Serum is a decentralized exchange developed on the Solana blockchain. It promises a fully operational exchange with trustless cross-chain trading, offering the speed and affordability that users desire. Although Serum operates on Solana, it is designed to work seamlessly with Ethereum.

The Serum DEX currently supports around 30 cryptocurrency markets, all traded with USDT or USDC. Users can create their own DEX on top of Serum DEX by following the guidelines provided in Serum Academy to accommodate additional trading pairs.

The Serum ecosystem comprises seven key components:

1. SRM Token: The utility token of Serum, integrated for transactions and subject to a buy/burn mechanism.
2. Cross-Chain Swaps: Trustless asset exchanges between different chains, unlike current protocols reliant on trusted third parties.
3. Orderbook: A decentralized automated limit orderbook that grants traders complete control over their orders, contrasting with automated market-making.
4. Full Integration with Ethereum and Solana: This integration enhances speed and efficiency while remaining compatible with the Ethereum ecosystem and ERC20 tokens.
5. Physically Settled Cross-Chain Contracts: These contracts facilitate easy margin trading on synthetic assets.
6. SerumBTC: A model for creating a trustless tokenization of Bitcoin.
7. SerumUSD: A decentralized stablecoin model that avoids single points of failure.

How does Serum function?

It’s crucial to note that the Serum DEX is still evolving, and its functionalities may change as Project Serum develops. Three core mechanisms underpin the Serum DEX: Solana’s SPL token standard, Serum’s interoperability protocol, and the SRM cryptocurrency token. The details regarding the SRM token, including staking and governance, will be explored in the following section.

Where to Purchase SRM?

If you want to acquire SRM cryptocurrency, top options include Binance, OKEx, and FTX. Although SRM is available on over 25 exchanges, these platforms offer the highest trading volume.

Chapter 2: Understanding SRM Staking

If you’ve been following my work, you’re likely familiar with staking. We’ve previously discussed it in various articles, and I’ve even shared video tutorials illustrating how to earn up to 11% on TRX staking and 8% on ALGO staking. If you missed those, here are the links:

TRX Staking:

ALGO Staking:

Staking rewards depend on node performance. Nodes play a vital role in on-chain operations, such as verifying cross-chain settlements. Users can also stake to different nodes, each led by a leader who creates it. While all nodes receive rewards, the amount depends on their responsibilities. The Serum DEX features a sophisticated staking system. To become a validator node, you need to stake 10 million SRM, with 1 million in the form of 1 MegaSerum (MSRM). Each node has a maximum stake limit of 100 million SRM.

SRM Cryptocurrency

SRM serves as the SPL token on Solana and the ERC-20 token on Ethereum. It is integral to the DeFi ecosystem of Project Serum, particularly for staking on Serum DEX. Staking SRM requires running a validator node, allowing users to reduce transaction fees on the DEX. One million SRM tokens can also be converted into one MegaSerum (MSRM) and vice versa.

The design principles for SRM and MSRM include:

• Generating value through utility rather than hyperinflation.
• Long-term lockups for seed sales, aimed at supporting the Serum ecosystem.
• 25% of all tokens have extended unlocking periods, emphasizing commitment.
• MSRM is a limited asset offering enhanced utility to dedicated supporters of Serum.
• SRM token holders govern net revenue generated by the platform, which can influence yield, buy/burn strategies, grants, or other uses.
• SRM provides specialized governance capabilities.

10% of SRM tokens are immediately accessible, while the remaining 90% follow a linear unlock schedule after an initial one-year lock.

Chapter 3: Serum's Roadmap and Future Prospects

The first two phases of Serum's development have been successfully completed.

We are currently in the third phase. While no specific timeline or future steps after this phase have been disclosed, I am optimistic about Serum's potential for growth and expansion in the near future.

This article has shed light on various aspects of the SRM project! I would love to hear your thoughts on Serum.

Next week, I’ll introduce another cryptocurrency, so stay tuned for notifications on my upcoming articles on Medium!

Feel free to suggest another cryptocurrency you’d like me to analyze in the comments!

Join the Coinmonks Telegram Channel and YouTube Channel to enhance your knowledge of crypto trading and investing. Also, check out these reviews: 3Commas Review | Pionex Review | Coinrule Review | Ledger vs Ngrave | Ledger Nano S vs X | Binance Review | Crypto Trading Bots | Bingbon Review | Bybit Exchange Review | Bityard Review | Jet-Bot Review | 3Commas vs Cryptohopper | Earn Crypto Interest.

Chapter 4: Video Insights on Serum (SRM)

An analysis of Serum (SRM) and its potential market decline.

A comprehensive review of Serum (SRM) and predictions for its future.