Deri Protocol & Scroll AMA

Deri Protocol
6 min readDec 1, 2023

On November 30th, Deri Protocol & Scroll jointly launched an AMA. Let’s watch the detailed & complete AMA recap below:

The AMA Entrance: https://discord.gg/dQyuBkBKBe

Deri Protocol: Hey guys! It’s AMA time! Let’s get started — before that — Let’s welcome Sandy from Scroll. Hi, Sandy — welcome to the Deri Protocol Discord channel.

Scroll: Hey, nice to be here! Hi Everyone, I’m Sandy, I’m a co-founder for Scroll, scroll.io. We are a zkEVM for ethereum, built by builders for builders. We are creating an EVM equivalent experience for builders and the most welcoming and supporting environment for entrepreneurial success.

Deri Protocol: Perfecttt — Scroll has been around and everyone knows Scroll has a L2 — what would you say sets Scroll apart from the rest as a Layer 2 solution?

Scroll: We’ve been open source from Day1, we are co-built with the the ethereum foundation’s PSE team, and a lot of open source contributors.We built a evm equivalent solution that basically uses a forked Geth node, which is the most battle tested set up.

Deri Protocol: Great, let’s look into the broader picture — What’s the grand vision for Scroll in the blockchain world?

Scroll: The team that can do this needs strong engineering and execution capacity, need to embrace open source culture, and have the time and patience to build out all the core infrastructure support to create a building environment for the next wave of applications.

Deri Protocol: How does linking up with Deri fit into that picture?

Scroll: Deri being an innovation application, with huge community support and traction, could thrive in an ecosystem like Scroll.

I think Deri will find a lot of organic builders, users on Scroll and being early in an ecosystem means it can grow along side it.

As early traction can more easily be maintained later on as the ecosystem grows.

Deri Protocol: Now that is something we are all excited about!
Let’s touch on the tech — How does Scroll’s tech stack up in a way that fits what Deri & other dapp’s needs?

Scroll: Firstly, the integration process is seamless, typically takes no more than pointing to a new RPC. Secondly the tech stack is constantly evolving, we are making improvements based on developer feedback.

The next iteration and upgrade will see bridge fees, and transaction fees reduce by half. Scroll can provide Deri with a stable and reliable base for onchain transactions.

There are certain unique aspects of the Scroll stack which might be interesting, also Scroll has a vibrant community in the developing world.

Turkey, Japan, and some countries in Latam Scroll has a huge community. these can work very well to expand and complement the existing Deri community. These can work very well to expand and complement the existing Deri community.

Deri Protocol: For sure, I think the Scroll x Deri Partnership is just warming up, and there is a lot of scope to build on — the future is bright!
Got any exciting features or plans coming up in Scroll — maybe some alpha?

Scroll: We’ll continue to launch new features and upgrades in the next 3–6 months. One unique feature we are launching is onchain random-ness, this can be used to run quests and raffles onchain. This is a cool way to run community initiatives

Another one is we are making a big bet on building the ecosystem in the developing world, using unique ZK primatives to onboard payment users and also bring on institutuioanls players by supporting zk identity solution.

Being interoperable with more ZK primatives makes it well positioned to innovate, and create cools to support Deri in the long run.

Deri Protocol: Does this refer to interoperability with other ZK layer2s?

Scroll: Not necessarily other ZK l2s, but other ZK applications. Interoperability between L2s is hard unless there is shared sequencers. But shared sequencers creates a lot of security risks and compromises, and everyone adheres to the lowest denominator.

So from a security trade off perspective, it doesn’t make any sense.

Deri Protocol: This is going to be a very desired solution for a lot of the Web3.0 projects.

Scroll: Great to hear. If there’s any other features you might need we would love to hear.

Deri Protocol: As we start to wrap up, let’s talk about user adoption. What strategies is Scroll employing to attract and onboard more users to understand Scroll.

Scroll: I think the north star for Scroll is to attract more developers.
Developers > Interesting Dapps > Users. This is the most sustainable loop we can think of. To attract Devs, I think there are a few things. 1) being responsive to their needs 2) creating a nurturing environment. 3) helping them grow.

Deri is a fantastic team which we would love to have in our ecosystem.

Deri Protocol: Within this topic, I have a more specific “tough” question:

Due to the tech nature, at the beginning, zk-based layer2 solutions tend to have higher gas costs due to the lack of users to share the costs, especially compared to OP layer2. However, this gas barrier can in turn hinder adoption.

How does Scroll plan to address this “early-stage dilemma” of zk layer2?

Scroll: This is a great question. It does raise the difficulty bar for user acquisition. I think the path of least resistence is to continue pushing forward on innovatioin.
The cool primatives/ like Dex/ Perp will exist on every L2, users don’t really come to an L2 to use a Dex, they come to acquire a certain asset or experience.

So we need to raise the bar for that type of yield/ or quality of the experience. So if I expect to earn more money, then I can be less sensitive to the feeor if the movie is more entertaining, then I’m less sensitive to the cost of entry.

Deri Protocol: Going to open the floor to the community to ask some questions — Feel free to ask any burning questions you have for the Scroll team.

Q: If Deri is deployed on the Scroll chain, what would be your positioning for DERI? Given the high gas fees associated with complex derivative trading, is there a possibility for Scroll to subsidize gas costs for DERI traders on its platform?

With numerous NFT-related activities emerging, how will Scroll’s focus shift towards derivative trading? Grant or incentive plans for Deri Protocol?

Any recommended bridge, you know keyber issues?

Do you think scroll is expensive than Arbitrum?

What’s scroll origins NFT? Will Deri get one?

Any benefits for OGs

A: I think Scroll offers a few things that are very uniquely helpful for derivatives trading platforms.

The most unique or relevant feature of Scroll for derivative users is instant finality, and also fast block times.

Cost of transaction is one parameters. Deri will definitely be eligible for a Scroll Origin NFT.

It’s a badge of honor, and its a way for us to track early builders in our ecosystem. It marks the sign of a Scroll OG, and a true builder/ pioneer. So we recommend the official bridge, which can be access from our website.

Scroll’s transaction fee is currently higher than Arbitrum, this will change as the network gets more popular because the cost is amortised.

The zk tech brings to the table the ability to withdraw instantly
Arb can withdraw within 7 days.
Blast can withdraw in a few months.
The Blocktime is a much more important metric for derivative platforms in particular. When there’s price volatility, you want your trade to settle immediately.

The cost is just friction.
The larger the whales, the more important this is
Thank you for all your thoughtful questions!!
I had a great time in the Deri Community.
And we would love to have your community representatives demo the product and also explain a bit more about the mission in the Scroll community.

Deri Protocol: Super thrilled that the community has gained a better understanding of Layer 2 and Scroll through today’s session. Instant withdrawal is amazing!

About Deri Protocol

Deri, your option, your future!

Deri is the DeFi way to trade derivatives: to hedge, to speculate, to arbitrage, all on chain. With Deri Protocol, trades are executed under AMM paradigm and positions are tokenized as NFTs, highly composable with other DeFi projects. Having provided an on-chain mechanism to exchange risk exposures precisely and capital-efficiently, Deri Protocol has minted one of the most important blocks of the DeFi infrastructure.

Website | Twitter | Github | Telegram| Discord

--

--

Deri Protocol

Deri Protocol = (Perpetual Futures + Everlasting Options) x Decentralized.