01.xyz Trade Review — Inside the High-Performance Perpetuals DEX Built on N1

01.xyz Trade is a high-performance perpetuals DEX built for traders who want institutional-style execution without giving up self-custody.

As part of the N1 ecosystem, it focuses on speed, reliability, and professional trading tools, positioning itself as a serious onchain alternative to centralized derivatives platforms.

01.xyz Trade is a self-custodial perpetual futures trading platform designed for active and professional traders who want centralized-exchange-style execution without giving up onchain settlement.

Built within the N1 ecosystem, it positions itself as a pro-grade derivatives terminal running on infrastructure optimized specifically for high-frequency trading workloads.

What Is 01 Trade and How It Fits Inside N1

01 Trade serves as the primary perpetual futures exchange within the N1 blockchain ecosystem. Rather than operating as a standalone decentralized application, it is positioned as a flagship trading product built directly on top of N1’s core infrastructure.

N1 markets itself as a “trading-first” Layer 1 blockchain. Unlike general-purpose chains that prioritize broad smart contract flexibility, N1 focuses on throughput, latency, and deterministic performance for financial applications.

Its stated goal is to support trading environments that require fast order matching, stable confirmations, and predictable network behavior during volatile market conditions.

This positioning matters because most decentralized derivatives platforms struggle with performance bottlenecks caused by network congestion, delayed block times, and unpredictable execution.

These limitations often result in slippage, failed transactions, delayed liquidations, and poor user experience during high-volume periods.

By building directly on N1, 01 Trade aims to reduce these structural weaknesses.

The exchange is designed to benefit from infrastructure optimized for high transaction throughput and low latency, allowing it to deliver a trading experience closer to centralized platforms while retaining non-custodial settlement.

In practical terms, 01 Trade represents N1’s attempt to demonstrate that specialized blockchain architecture can support professional-grade derivatives trading without relying on centralized custody.

Core Unique Selling Proposition (USP)

Trading-First L1 Alignment

The primary differentiator of 01 Trade is its tight integration with N1’s trading-focused infrastructure. Instead of adapting a derivatives platform to general blockchain limitations, 01 is built on rails explicitly designed for financial throughput. This alignment enables faster order processing, more reliable cancellations, and improved stability during market volatility.

Pro Trading Stack Beyond the Interface

01 Trade is designed as a complete trading system rather than just a visual terminal. The platform supports structured order types, real-time market data streams, and advanced execution logic. Its official documentation emphasizes trading primitives that cater to institutional-style workflows, not just retail interaction.

This focus extends to automation and systems trading, with support for programmatic access through dedicated APIs and SDKs. For professional traders, this matters as much as the user interface itself.

Developer-Centric Infrastructure

The platform provides official SDKs, REST APIs, and WebSocket endpoints for order management and market data. Features such as multi-account support and atomic trading operations allow users to implement complex strategies and manage multiple positions simultaneously.

This makes 01 Trade particularly attractive to quantitative traders, bot developers, and proprietary trading teams who require stable and well-documented interfaces.

Transparent Incentive Framework

01 operates a points-based incentive program that is explicitly defined as non-transferable and non-monetary. Points are distributed weekly based on trading activity and liquidity provision. This clarity reduces ambiguity around speculative reward expectations and frames incentives as participation tools rather than investment instruments.

Non-Custodial Architecture and Jurisdiction Controls

01 Trade functions as a frontend interface for interacting with smart contracts. User funds remain in connected wallets rather than being held by the platform. The company also discloses that access may be restricted in certain regions, reflecting regulatory compliance considerations.

This structure places full control and responsibility with users, reinforcing self-custody while limiting legal exposure.

01.xyz Trade Review — Key Features

01 Trade combines traditional exchange mechanics with decentralized settlement. Its main functional features include:

• Orderbook-Based Trading Interface
  Users trade through a live orderbook with visible bid and ask depth, similar to centralized derivatives platforms.
• Perpetual Futures Contracts
  The platform supports perpetual contracts with funding mechanisms instead of fixed expiries.
• Multiple Order Types
  Includes market orders, limit orders, and trigger orders for advanced execution control.
• Integrated Charting System
  Built-in candlestick charts with timeframe selection and technical indicators.
• Real-Time Market Data
  Live updates for price, volume, open interest, funding rates, and bid-ask ratios.
• Leverage Controls
  Adjustable leverage settings allowing traders to manage exposure.

• Position and Risk Dashboard
  Displays margin usage, liquidation prices, unrealized PnL, and funding accruals.
• Wallet-Based Access
  Trading is performed through connected crypto wallets without account creation.
• API and SDK Access
  Enables automated trading, data streaming, and system integration.
• Points and Incentive Tracking
  Built-in monitoring of reward eligibility and participation metrics.

Together, these features position 01 Trade as a comprehensive derivatives terminal rather than a simplified DeFi trading interface.

How to Use 01.xyz Trade: Quick Step-by-Step Guide

1. Open the Platform

Visit https://01.xyz/trade using a supported web browser.

2. Connect Your Wallet

• Click Connect Wallet.
• Select your supported wallet.
• Approve the connection request.

3. Deposit Funds

• Go to Deposit / Funding.
• Choose your collateral asset (for example USDC or SOL).
• Confirm and approve the transaction in your wallet.
• Wait for funds to appear in your balance.

4. Choose a Trading Market

• Open the Markets section.
• Select a pair such as BTC/USD or ETH/USD.
• Load the trading interface.

5. Review Market Data

Check the chart, orderbook, funding rate, open interest, and volume before trading.

6. Place a Trade

• Select Market, Limit, or Trigger order.
• Choose Long or Short.
• Enter size and leverage.
• Review liquidation price and margin.
• Submit and approve the order.

7. Manage Your Position

• Monitor your trade in the Positions tab.
• Track PnL, margin, and funding.
• Increase, reduce, or close positions as needed.

8. Withdraw Funds

• Close open positions.
• Go to Withdraw.
• Enter amount and confirm.
• Approve in wallet.

Advanced users can connect via API and WebSocket for automated trading using official documentation.

Always manage leverage carefully, keep gas tokens for fees, and double-check transactions before confirming.

Leverage, Margin, Liquidation, and Risk Management

01 Trade is built around a structured margin and liquidation framework designed to protect both traders and the overall market. Rather than relying only on interface-level controls, the platform applies risk limits at the protocol level.

Leverage and Margin System

Traders can adjust leverage based on their risk appetite. However, leverage settings in the interface act primarily as position-sizing tools. The actual account health is continuously evaluated against system-defined margin thresholds.

The platform uses multiple margin tiers:

• Initial margin determines how much collateral is required to open a position.
• Maintenance margin defines the minimum balance needed to keep positions open.
• Cancel margin thresholds trigger automatic order cancellations when risk increases.

This layered structure allows the system to intervene before full liquidation becomes necessary.

Liquidation Process

When account health deteriorates, 01 follows a staged response:

1. Open orders that increase exposure are cancelled.
2. Positions are partially reduced to restore margin compliance.
3. If losses continue, full liquidation is triggered.
4. Extreme deficits are handled through insurance fund mechanisms.

Liquidation orders are designed for immediate execution to minimize market disruption. This approach prioritizes system stability over maximizing recovery for individual accounts.

Risk Implications for Traders

This conservative model reduces systemic risk but requires traders to manage leverage carefully. During periods of rapid volatility, liquidation thresholds may be reached faster than expected, particularly in thin markets. As a result, disciplined position sizing remains essential.

Markets, Liquidity, and Platform Statistics

Because 01.xyz currently operates in a restricted or private mainnet environment, full on-chain visibility is limited. As a result, analytics platforms such as DefiLlama cannot consistently index complete transactional and liquidity data. The statistics visible today should therefore be interpreted as partial snapshots rather than definitive measurements.

Token Values (USD)

The first chart shows aggregate token values associated with the protocol over time. From 2023 to mid-2024, total value increased steadily and peaked around the $50 million range. After mid-2024, reported values decline sharply, reflecting changes in data visibility or capital movement rather than necessarily operational failure.

Tokens Breakdown (USD)

The second chart illustrates asset composition:

• SOL: approximately 61.75%
• USDC: approximately 23.97%
• mSOL: approximately 10.71%
• USDT: approximately 3.41%
• WETH: approximately 0.15%

This distribution suggests a strong dependency on the Solana ecosystem and Solana-native liquidity.

Token Balances (Raw Quantities)

The third chart shows raw token holdings. Balances were highest during 2022 and early 2023, stabilized during 2023 and early 2024, and dropped sharply after mid-2024. This likely reflects changes in custody structures, operational models, or reporting methods rather than direct capital withdrawal alone.

USD Inflows

The fourth chart tracks net inflows and outflows. Early periods show moderate activity with both positive and negative spikes. A significant outflow appears around mid-2024, exceeding $40 million, which coincides with the decline in reported balances.

Why These Numbers Are Incomplete

Because the network is not fully public and RPC endpoints are restricted, indexers cannot access all contract interactions. As a result:

• Volume figures may be underreported
• TVL may exclude internal liquidity pools
• Some transactions may be invisible
• Balance changes may be misinterpreted

Once N1 transitions to a fully open mainnet with public contract visibility, these statistics are expected to become more reliable.

Live Markets and Liquidity Observations

From the trading terminal interface, BTC/USD is clearly supported, along with standard derivatives indicators such as open interest, funding rates, and 24-hour volume. Additional markets are visible through the platform’s Markets section, which lists major crypto assets and selected altcoins.

Liquidity quality varies based on market maturity and incentive periods. During active sessions, bid-ask spreads appear competitive, while off-peak periods may show reduced depth.

Fees and Funding Mechanism

Trading Fees

01 Trade follows a maker-taker fee structure. Each market defines its own parameters for:

• Maker fees
• Taker fees
• Liquidation penalties
• Withdrawal charges

At present, a unified public fee table is not consistently published outside the platform interface. Users are required to verify rates inside the terminal or via authenticated API metadata.

This limits immediate cost comparison with competing exchanges and should be considered by prospective traders.

Funding Rates

Funding is calculated hourly and accumulated through a funding index mechanism. Rather than settling continuously, funding adjustments are realized when positions are modified or closed.

Key properties include

• Hourly funding intervals
• Countdown timers visible in the UI
• Market-specific funding rates
• Index-based accrual model

This structure improves accounting precision but requires traders to monitor funding exposure actively.

Security and Custody Model

Non-Custodial Design

01 Trade does not hold user funds. All trading activity occurs through connected wallets, and collateral remains under user control within smart contract systems.

This reduces custodial risk but increases user responsibility for key management and transaction verification.

Authentication and Session Security

The platform uses session-based authentication combined with cryptographic signatures. Users authorize trading sessions via wallet signatures, after which limited keys are used for order execution. This improves usability while preserving security boundaries.

Smart Contract Risk

As with any decentralized derivatives protocol, users are exposed to:

• Smart contract vulnerabilities
• Oracle manipulation risk
• Network-level failures
• Frontend compromise risks

Audits and Bug Bounty Programs

At the time of writing, comprehensive public audit reports and formal bug bounty programs are not prominently linked on the main platform pages. Traders should treat this as an elevated risk factor until independent security reviews are clearly published.

Who Should Use 01 Trade

01 Trade is designed primarily for experienced and semi-professional traders rather than casual DeFi users. Its interface, risk structure, and ecosystem positioning make it best suited for specific user profiles.

Active Derivatives Traders

Traders who are familiar with perpetual futures, margin requirements, and funding mechanics will find the platform intuitive. The orderbook-based layout and detailed market metrics support short-term and intraday trading strategies.

Traders Seeking Self-Custody Without Sacrificing Performance

Users who want to avoid centralized custody while retaining fast execution and structured order controls are the core target audience. 01 Trade aims to replicate the workflow of centralized exchanges while keeping assets onchain.

Algorithmic and Systematic Traders

With official SDKs, REST APIs, and WebSocket feeds, the platform is well positioned for automated trading. Developers building bots, market-making systems, or portfolio execution tools can integrate directly with the exchange infrastructure.

Users Aligned With the N1 Ecosystem

Traders who believe in the “trading-first blockchain” thesis and want early exposure to N1-based financial applications may see 01 Trade as a strategic platform.

Who Should Be Cautious

The platform may not be ideal for:

• Beginners with limited derivatives experience
• Users who require full transparency from public analytics today
• Risk-averse traders uncomfortable with early-stage infrastructure
• Traders who prefer simple swap-style interfaces

Pros and Cons

Pros

Professional Trading Interface
The terminal closely resembles institutional and centralized exchange layouts, with integrated charts, depth views, and funding indicators.

Infrastructure-Level Performance Focus
Integration with N1’s trading-oriented architecture provides a structural advantage over general-purpose chains.

Strong Developer Support
Comprehensive APIs, SDKs, and real-time data feeds enable advanced automation and systematic trading.

Clear Incentive Disclosure
The non-monetary points program is transparently presented, reducing speculation-driven ambiguity.

Non-Custodial Model
Users retain control of assets, reducing counterparty and custodial risks.

Cons

Limited Public Transparency at Present
Private or restricted network conditions make independent verification of volumes, liquidity, and fees difficult.

Fee Schedule Not Prominently Published
The lack of a clearly visible public fee table complicates cost comparison.

Incomplete Security Disclosure
Publicly verifiable audits and formal bug bounty programs are not prominently displayed.

Early-Stage Liquidity Risks
Market depth may depend heavily on incentive programs, leading to inconsistent execution quality.

Higher Learning Curve
The professional trading environment may overwhelm inexperienced users.

Conclusion

01.xyz Trade represents a serious attempt to bring institutional-grade derivatives trading to decentralized infrastructure.

By aligning itself closely with N1’s trading-first blockchain design, the platform addresses many of the structural limitations that have historically affected onchain perpetual exchanges.

Its strongest attributes are its professional terminal design, developer-friendly architecture, and focus on execution reliability.

These features position it as a credible alternative for traders who value both performance and self-custody.

At the same time, the platform remains in a transitional phase. Restricted network visibility, incomplete public analytics, and limited security disclosures mean that full trust must still be earned through time, transparency, and operational consistency.

For experienced traders willing to accept early-stage risk in exchange for potential long-term advantages, 01 Trade is a platform worth monitoring and testing cautiously. For conservative users, it may be better approached once public infrastructure and third-party validation mature further.

01.xyz Trade stands out for its strong focus on execution quality, developer support, and infrastructure-level optimization.

If N1 delivers on its trading-first vision, the platform has the potential to become a major player in decentralized derivatives. Until transparency and public analytics mature, it remains a promising venue best approached with informed caution and disciplined risk management.

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01.xyz Trade Review — Inside the High-Performance Perpetuals DEX Built on N1 was originally published in Coinmonks on Medium, where people are continuing the conversation by highlighting and responding to this story.