LibraryMarkets2021Design paperCorpus record
Drift: a Solana perpetual exchange with a liquidity pool
Drift protocol. Drift Labs.
Drift publishes perpetuals on Solana, with liquidity from a pool and from limit orders, and with funding payments between longs and shorts.
A reading of the project's public design document. Not a copy, not a benchmark, and not an offer.
Drift publishes perpetuals on Solana, with liquidity from a pool and from limit orders, and with funding payments between longs and shorts.
- Evidence
- Primary paper
- Re-measured
- No
- Assumptions
- 3
- Records linked
- 4
01 Claim ledger
What the paper is allowed to say
Each row is a sentence already in the study. The status is the same on every row: a model claim, not a live measurement.
Claim 01 · Paper model
The defect
A perp on a high-throughput chain is still a perp. Funding, the oracle, and the insurance fund are the design.
Claim 02 · Paper model
The proposal
Drift publishes perpetuals on Solana, with liquidity from a pool and from limit orders, and with funding payments between longs and shorts.
Claim 03 · Paper model
The mechanism
Positions are marked to an oracle the docs name. That oracle can liquidate you. The chain's speed does not replace the oracle.
Claim 04 · Paper model
The bound
No funding rate and no open interest is stated here.
02 Three cuts
Observation, model, falsifier
A desk does not stop at the summary. Each claim is cut three ways, using only this study's own assumptions and checks. Nothing here is a new figure.
01 The defect
Observation
What the study says
A perp on a high-throughput chain is still a perp. Funding, the oracle, and the insurance fund are the design.
Model
What has to hold
You are reading the Drift Protocol v2 repository. A later host name is not a new mechanism.
02 The proposal
Observation
What the study says
Drift publishes perpetuals on Solana, with liquidity from a pool and from limit orders, and with funding payments between longs and shorts.
Model
What has to hold
You are reading the Drift Protocol v2 repository. A later host name is not a new mechanism.
Falsifier
What would retire it
Who pays the winner: the book, the pool, or both?
03 The mechanism
04 The bound
Observation
What the study says
No funding rate and no open interest is stated here.
Model
What has to hold
You are reading the Drift Protocol v2 repository. A later host name is not a new mechanism.
03 Sequence
One action, as an operating tape
- 01Positions are marked to an oracle the docs name. That oracle can liquidate you. The chain's speed does not replace the oracle.
- 02The liquidity pool takes the other side when the book does not. Pool losses are a design outcome.
- 03Funding is a periodic payment between positions. It is not a yield the protocol owes a holder.
04 Load-bearing
The argument, and where a pitch drops it
What the name has to mean
The cut
Drift publishes perpetuals on Solana, with liquidity from a pool and from limit orders, and with funding payments between longs and shorts.
Why it carries weight
If this cut is skipped, the paper's name is being used without the mechanism that makes the name mean anything.
Where it is dropped
No funding rate and no open interest is stated here.
What actually moves
The cut
The liquidity pool takes the other side when the book does not. Pool losses are a design outcome.
Why it carries weight
If this cut is skipped, the paper's name is being used without the mechanism that makes the name mean anything.
Where it is dropped
A later client, parameter or reward formula is a different object from this paragraph.
What a later deployment may change
The cut
Funding is a periodic payment between positions. It is not a yield the protocol owes a holder.
Why it carries weight
If this cut is skipped, the paper's name is being used without the mechanism that makes the name mean anything.
Where it is dropped
No funding rate and no open interest is stated here.
05 Register
What has to be true
Model · Not re-measured
You are reading the Drift Protocol v2 repository. A later host name is not a new mechanism.
Model · Not re-measured
The document is the one at the source URL. A marketing page with the same brand is not this text.
Model · Not re-measured
No price, supply, yield, or adoption figure is added by this desk.
06 Divergence
What happened after the paper
An insurance fund can be exhausted. The docs' socialised-loss rule, if any, is the remainder.
A later client, parameter set, or reward formula is a different object. Cite this paper for the mechanism. Cite a primary release for the network. This desk has not re-run the proof.
07 Pre-mortem
What to check before you use the idea
- 0 of 3 marked on this browser. A mark is a reading note, not a pass, a rating, or a recommendation.
08 Anatomy
The paper, in the order a builder needs
The problem it names
A perp on a high-throughput chain is still a perp. Funding, the oracle, and the insurance fund are the design.
What the design proposes
- Positions are marked to an oracle the docs name. That oracle can liquidate you. The chain's speed does not replace the oracle.
- The liquidity pool takes the other side when the book does not. Pool losses are a design outcome.
- Funding is a periodic payment between positions. It is not a yield the protocol owes a holder.
How the mechanism is specified
- Positions are marked to an oracle the docs name. That oracle can liquidate you. The chain's speed does not replace the oracle.
- The liquidity pool takes the other side when the book does not. Pool losses are a design outcome.
- Funding is a periodic payment between positions. It is not a yield the protocol owes a holder.
What this page does not treat as proven
Why the desk still reads it
Drift publishes perpetuals on Solana, with liquidity from a pool and from limit orders, and with funding payments between longs and shorts.
09 Lexicon
Terms, opened into the record
- Funding payment
- A transfer between longs and shorts on a schedule. It is not interest from a borrower.
- Insurance fund
- A buffer for losses. It is finite.
10 Repository
Every linked record on this page
Underlined words open a page that already exists: a concept, a protocol profile, a failure record, or another paper. If a word is not underlined, this desk does not have a record for it.
This is Blockchain Lab's reading of a public design paper. It is not the paper, not a copy of it, and not an offer of tokens, equity, custody or a partnership. Later network behaviour can diverge from the text. Nothing here is investment, legal or technical advice.
Research status: Design paper. Last reviewed: 1 October 2026. This is a reading of a public paper, not investment, legal or security advice.