OpenOcean Aggregates Loopring Ethereum Layer 2
The first full DeFi & CeFi aggregator has now become the first to integrate Ethereum layer 2
Today, we are thrilled to announce our aggregation of Loopring Ethereum Layer-2 on OpenOcean, which will dramatically lower transaction fees, speed up trading and maintain the same level of security as the main Ethereum chain (Layer-1).
With the aggregation of Loopring, OpenOcean becomes the first Ethereum Layer 2 aggregator. We will continue to aggregate more Layer 2 to provide users with the best access to liquidity, pricing and the lowest slippage.
As a DeFi & CeFi full aggregator, OpenOcean’s first goal is to provide our users with the best price with low fee by aggregating liquidities from mainstream exchanges on both DeFi and CeFi while applying intelligent algorithms. For DeFi, we have aggregated DEXes on Ethereum, Ethereum Layer2, Binance Smart Chain, Ontology, Tron, and will continuously aggregate mainstream exchanges on other networks such as Solana, Matic and Polkadot. For CeFi, we have aggregated Binance and will continuously aggregate top-tier exchanges.
Why do we integrate Ethereum Layer 2
Due to popularity, Ethereum network is almost always congested and our users face high fees and long delays. Layer 2 presents a less congested solution, where users transact without gas fees and delays, but still with Ethereum main chain level security. Ethereum layer 2 solutions enable off chain transaction handling where computation is less crowded, and generates a cryptographic proof that a certain computation is done correctly which is then committed back to the main chain. Since less data is required for commitment to the main chain, block validation is cheaper, faster and requires less gas.
Why do we aggregate Loopring?
Loopring is the first scalable DEX protocol built with zkRollup, a type of secure Layer 2 scaling solution designed for Ethereum. Loopring exchange, built on top of the Loopring protocol, is a non-custodial Ethereum exchange with a highly performant (super fast, gas-free) AMM & orderbook-based exchange with Ethereum security guarantees. Loopring v2 is one of the leading Layer 2 for Ethereum in terms of assets and users on the rollup.
With the aggregation of Loopring’s Layer 2 orderbook, we can provide the same consistent trading experience as Loopring’s orderbook. On OpenOcean Pro, users can transfer assets to their Layer 2 wallet. When users deposit assets from Ethereum to Layer 2, gas fees are incurred. There is also a gas fee for withdrawals back to the Ethereum chain. Then, a bridge between Ethereum main chain and Ethereum Layer 2 enables quick and easy asset transfer in between the chains, allowing the users to benefit from the fast transactions and no gas fees that exist on Ethereum Layer 2. Users need to activate Layer 2 in order to see Layer 2 token pairs available on OpenOcean Ethereum network (see Figure 1), select the token pair and instantly trade tokens without paying high gas fees when the Ethereum network is congested.
What are the fees on Loopring?
OpenOcean does not charge any protocol/trading fees for DEX aggregation. We continue this and will not charge any extra fees on top of the Loopring Layer 2 aggregation. There are however transaction fees when trading/swapping, transfer or withdrawal in Layer 2. These fees are paid to the operator of the zkRollup, often referred to as the Loopring relayer, in order to incentivize network participants and keep Layer 2 functioning.
As we only aggregate Loopring Layer 2’s orderbook exchange, the trading fees will follow a maker-taker model on the orderbook.
1. Taker fees are 0.25%. Takers are users who take liquidity from the orderbook when they submit a market order.
2. Maker fees are -0.02% (negative 2 bps). Makers are users who add liquidity to the orderbook by placing a bid limit price on their order, which means their order doesn’t execute until the limit price is met. Makers earn rebates by participating in liquidity contribution, just like LPs earn in the AMM pools. Makers earn 2 bps (0.02%) on all of their filled orders. The rebates will distribute to the Layer 2 account.
3. On stablecoin vs stablecoin pairs, the taker fee is 0.04%, and the maker fee is still -0.02%.
Try it Today!
Proceed to OpenOcean now and begin trading in ETH’s Layer 2!
For beginners, you may refer to the guideline here on how to use the Layer 2 Loopring Exchange on OpenOcean.
