Research & Development

Loopring Protocol v3

We finished implementing the new fee model and ring settlement logic in protocol v3. Our previous versions already support charging any tokens as trading fees. The new fee model completely eliminates the fee token concept from the user’s experience and allows a DEX to charge a percentage of the tokens traded in matched orders. This new fee model not only allows us to closely match the user experience on centralized exchanges (taker/maker orders, market orders, etc), it also improves the throughput of the protocol: the maximum throughput with on-chain data availability increased from 160 TPS (trades per second) to 200 TPS👊👊👊, and the maximum throughput without data availability increased from 525 TPS to 660 TPS👍👍👍.

We have also added better testing for the data availability, ensuring that we can restore the exchange’s state by merely using the data published on Ethereum. We now also have JavaScript code that can sign the protocol requests, making it much easier to integrate with actual products. All tests were updated to make use of it.