Decentralized Exchange Bluefin to Launch Governance Token
Bluefin, a decentralized orderbook exchange, is set to introduce its governance token in July after securing a total of $17 million in funding since its establishment in 2020. The exchange, known for enabling users to trade crypto perpetual swaps on the Sui network, recently received an undisclosed investment from trading giant Flow Traders as it prepares for the token’s release.
Bluefin plans to utilize the raised funds to diversify its offerings beyond perpetual trading and to build a decentralized financial ecosystem. The exchange’s aim is to decentralize decision-making processes and provide incentives for users and contributors through its upcoming token, BLUE.
Zabi Mohebzada, co-founder of Bluefin, stated, “Our vision is to accelerate the adoption of decentralized finance by introducing a sustainable, powerful, and user-friendly exchange to the market.”
Decentralized Exchanges and Perpetual Swaps
Decentralized exchanges (DEXs) gained popularity during the crypto winter following significant collapses of some large centralized platforms. DEXs operate autonomously, facilitating the trading of digital assets through automated algorithms without human intervention.
Perpetual swaps, a unique financial instrument in the crypto space, resemble futures contracts but lack an expiration date, providing traders with flexibility in their trading strategies.
Details of the BLUE Token
The BLUE token will have a maximum supply of 1 billion, with an initial circulating supply of 116 million. Investors and Bluefin’s team will undergo a three-year vesting period, with a lockup period expiring one year after the token’s launch. A significant portion of the token, 32.5%, will be allocated for user incentives, including airdrops, trading rewards, liquidity provisions, and growth initiatives.
Bluefin also plans to introduce an aggregator for spot digital asset trading and “Bluefin Pro,” a platform offering cross-margin trading and faster order executions to enhance user experience.
Investment and Trading Volume
Bluefin attracted investments from major hedge funds like Brevan Howard Digital, Tower Research, Cumberland DRW, and Susquehanna International Group. The exchange reported over $25 billion in trading volume this year, with monthly revenues exceeding $1 million.