Gate Launches Perp DEX on Layer 2 Network

Gate Perp DEX represents a fundamental shift in decentralized derivatives trading, developed independently on Gate’s high-performance Layer 2 network, Gate Layer. Unlike traditional decentralized exchanges, the platform integrates a sophisticated matching engine capable of high-concurrency processing and low-latency trading, ensuring stable execution even during periods of extreme market volatility. This technological foundation allows users to begin trading simply by connecting their wallets, delivering what the company describes as a true “connect-to-trade” experience that bridges the gap between centralized and decentralized trading environments.

The platform’s multi-chain compatibility stands as a key differentiator, enabling deposits and withdrawals across major blockchain networks including Solana, Ethereum, BSC, and Base. This interoperability is powered by the LayerZero protocol for cross-chain communication, allowing traders to access diverse liquidity pools and asset ecosystems without the traditional barriers of chain-specific limitations. The combination of high-performance infrastructure and cross-chain functionality positions Gate Perp DEX as a comprehensive solution for professional traders seeking decentralized trading alternatives.

Gate Perp DEX currently supports an impressive 447 trading markets, covering both mainstream digital assets like BTC and ETH alongside long-tail assets that typically receive limited attention on competing platforms. This extensive market coverage is complemented by sophisticated trading features that mirror the functionality of established centralized exchanges. Traders can choose between one-way or two-way positions, toggle between cross-margin and isolated margin modes, and execute trades using various order types including limit, market, stop-loss, take-profit, conditional, and iceberg orders.

Leverage settings on the platform directly correspond to those available on Gate’s centralized trading platform, with BTC and ETH perpetual markets supporting up to 125x leverage. This high-leverage capability provides professional traders with greater flexibility and strategic depth while maintaining the security and transparency benefits of decentralized infrastructure. The order book model implemented by Gate Perp DEX further enhances the trading experience by narrowing spreads, improving capital efficiency, and deepening liquidity pools, creating what the company describes as a “near-CEX trading experience” within a decentralized framework.

Security and risk management form the cornerstone of Gate Perp DEX’s design philosophy. The platform utilizes an on-chain ledger system that ensures every order and asset movement can be verified in real-time by users. All order data and asset changes are recorded on-chain, providing unprecedented transparency compared to traditional trading platforms. This architectural approach is secured by audited smart contracts and reinforced by LayerZero-powered cross-chain communication protocols, creating multiple layers of security verification.

The platform incorporates a Vault auto-balancing mechanism that automatically manages fund allocations across different chains and protocols, reducing counterparty risk and ensuring optimal capital utilization. This combination of on-chain transparency, audited contracts, and automated risk management systems represents a significant advancement in decentralized finance security standards. By making every transaction verifiable while maintaining robust security protocols, Gate Perp DEX aims to build user trust in an ecosystem where security concerns have traditionally limited institutional participation.

Gate Perp DEX has implemented comprehensive incentive structures to encourage platform adoption and community engagement. The platform features a rebate and points system designed to reward users for both trading activity and ecosystem participation, fostering sustainable value circulation within the decentralized ecosystem. During the public beta period running from September 29 to October 22, 2025, users can access multiple incentive programs including first-time trading rewards, leaderboard competitions, and feedback bonuses, with individual rewards reaching up to 500 GT tokens through airdrops.

The launch of Gate Perp DEX represents a pivotal execution of Gate’s broader “All in Web3” strategy, reflecting the company’s commitment to driving the decentralized derivatives market toward greater professionalism and systemization. Founded in 2013 by Dr. Han, Gate has established itself as one of the world’s earliest cryptocurrency exchanges, currently serving over 39 million users with more than 3,600 digital assets. The company’s ecosystem extends beyond core trading services to include Gate Wallet, Gate Ventures, and other innovative solutions, with the platform having pioneered the industry’s first 100% proof-of-reserves verification system.

Looking forward, Gate plans to continue integrating infrastructure with applications, accelerating the evolution of crypto finance into what the company describes as a new era of efficiency, transparency, and inclusivity. The successful implementation of Gate Perp DEX on the company’s self-developed Layer 2 network demonstrates Gate’s technical capabilities and strategic positioning within the rapidly evolving Web3 landscape, potentially setting new standards for decentralized derivatives trading platforms worldwide.