Exchanging digital assets is the bedrock of crypto — across DeFi, NFT marketplaces and GameFi. Thus, the problem of how to scale trading apps and exchanges is instrumental to unlocking the next stage of growth for Web3 adoption. Trading apps face a major scaling problem on Layer 1s today. Exchanges strive to find a balance between decentralization, scalability and capital efficiency. This challenge is called the Trading Trilemma.

Purpose-built infrastructure is necessary to address these issues. Sei providing a solution that addresses the DEX scalability problem and enables trading apps to scale effectively while maintaining decentralization and capital efficiency.

How does Sei solve this problem?

Sei addresses the DEX scalability problem by building the first Layer 1 specialized for trading, optimizing every layer of the stack to offer the best infrastructure for trading apps. By optimizing its infrastructure for trading apps, any gaming economy, NFT marketplace, or DeFi DEX, will operate better on Sei than on any other Layer 1.

Sei is the fastest chain to finality — point blank — with a lower bound of 300ms, making the infrastructure ideal for trading functionality. Sei features Twin-Turbo consensus to reach levels of performance that no other Layer 1 has gotten. Sei’s built-in matching engine and front-running prevention provide trading apps with valuable out-of-the-box advantages. Finally, Sei’s automatic order bundling capability improves app throughput and improves the user experience for all trading apps built on Sei. Frontrunning protection — combats malicious frontrunning that is rampant in other ecosystems. The combination of these optimizations make Sei the haven for the top trading apps globally.

In focusing on trading, Sei has created a compelling offering for developers looking to build on a general-purpose Layer 1. Trading is universally important to all applications in Web3, including gaming, social, and NFTs. By catering to this fundamental need, Sei creates a gravitational pull for users to come explore any kind of application built on Sei because trading is general purpose. There are now hundreds of promising teams in the Sei ecosystem, and their number is constantly growing.