Decentralized exchange Bluefin launches BLUE token after raising $17 million in total funding

Original title: 《Decentralized Exchange Bluefin to Roll Out Token After Securing $17M in Total Funding》

Original author: Aoyon Ashraf

The exchange claims to have achieved more than $25 billion in trading volume since the beginning of the year, with monthly revenue exceeding $1 million.

Decentralized order book exchange Bluefin will launch its governance token in July, after raising a total of $17 million in funds since its inception in 2020. The exchange, which allows users to trade crypto perpetual contracts on the Sui network, recently received an undisclosed amount of investment from trading giant Flow Traders ahead of the token launch. Bluefin said it will use the funds to expand its business beyond perpetual trading and develop the decentralized financial ecosystem.

Bluefin claims to be the leading derivatives exchange in the Sui network, with its perpetual trading products already accounting for more than 70% of the market share. The upcoming BLUE token will help companies decentralize their decision-making process while incentivizing users and contributors.

“Our vision is to accelerate the adoption of decentralized finance by bringing a sustainable, robust and user-friendly exchange to the market,” said Bluefin co-founder Zabi Mohebzada.

Decentralized exchanges (DEXs) became popular during the crypto winter after some large centralized platforms (CEXs) such as Sam Bankman-Fried’s FTX crashed dramatically. DEXs are self-executing, meaning they can coordinate digital asset trades between users using automated algorithms without the need for a human factor.

Perpetual contracts are financial products unique to cryptocurrencies and are essentially futures contracts with no expiration date.

According to a token economics document seen by CoinDesk, the maximum supply of BLUE tokens is 1 billion, with an initial circulating supply of 116 million. Investors and the Bluefin team will have a three-year vesting period, with the lockup period expiring one year after the initial launch next month. It also plans to allocate 32.5% of tokens to user incentives, including airdrops, trading rewards, liquidity provision and future growth plans, according to the filing.

The DEX also plans to launch an aggregator for trading spot digital assets and "Bluefin Pro," offering cross-margin trading and faster execution.

Bluefin has raised funds from major hedge funds, including Brevan Howard Digital, Tower Research, Cumberland DRW and Susquehanna International Group. The exchange said it has achieved more than $25 billion in trading volume so far this year and has monthly revenue of more than $1 million.