Drift: everything you need to know about DRIFT

What is Drift?

Drift is a decentralized platform that focuses on offering derivative trading. It has been developed to enhance the trading experience for users using blockchain technology. The platform offers contracts for various asset classes, with a focus on speed and low costs. Drift utilizes an innovative model that allows traders to operate in both bull and bear markets.

How does Drift work?

Drift uses a decentralized exchange (DEX) that trades in perpetual contracts. These contracts allow users to speculate on the price movements of various crypto assets without actually buying or selling the underlying asset. The platform structure is designed for low costs and fast trading, without relying on traditional intermediaries.

The Drift token

The native token of Drift is DRIFT. This token is used to access the platform's functions, including paying trading fees and participating in governance activities. DRIFT can also be used as an incentive for users to support the platform.

The technology behind Drift.

Drift uses advanced blockchain technology to ensure transparency, security, and decentralization. The platform is built on the Solana blockchain, providing high speed and low costs. This makes Drift attractive to active traders who benefit from fast transactions without the usual high costs of traditional marketplaces.

The Drift ecosystem

Drift's ecosystem includes traders, liquidity providers, and stakers who contribute to the success of the platform. The system enables users to trade, stake, and participate in governance. For example, DRIFT token holders can vote on important changes within the platform, such as updates to the protocol or new features.

Benefits of Drift

• Fast transactions: Thanks to the Solana blockchain, users can trade quickly, which is important for trading derivatives.
• Low costs: Drift offers a platform with lower trading costs than many traditional marketplaces.
• Decentralization: The platform is fully decentralized, giving users complete control over their assets and trading.

Disadvantages of Drift

• High volatility: Like many other derivative markets, Drift is also subject to high volatility, which can lead to greater risks for traders.
• Limited recognition: Drift is not as well-known as other larger platforms, which means it may have less liquidity compared to major exchanges.
• Complexity for beginners: Because the platform focuses on derivatives, it can be difficult for beginners to fully understand how to use the platform optimally.

Who is the founder of Drift?

You are right: Cindy Leow is indeed the co-founder of Drift Protocol. She founded Drift Labs in May 2021 together with her colleague David Lu. Leow has a background in strategic finance and data science, and previously worked as a portfolio manager at 256 Capital, where she developed quantitative trend-following strategies and managed a derivatives portfolio.