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Aevo Exchange FAQs
What are the trust assumptions of the off-chain orderbook?
What are the trust assumptions of the off-chain orderbook?
Updated over a week ago

Currently, when you trade on Aevo, orders are posted to an off-chain orderbook. This allows traders and market-makers to post hundreds of orders a second and keep prices in the orderbook fresh.

  1. Resting limit orders are posted onto the off-chain orderbook. The off-chain risk engine runs a check to ensure that the account has sufficient margin to enter the position if they get filled.

  2. If the order crosses, the Aevo Exchange keeper posts both signed orders (taker and maker) onto the L2 smart contracts

  3. The L2 sequencer posts a proof of this block onto L1 mainnet

  4. At settlement time, the smart contracts settle the positions between the various holders of the options contracts, and funds are exchanged between accounts at the contract-level

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