Institutional coin curse: How SUI's new assets break through

This article discusses how Typus Finance provides a launch coin solution for the Sui ecosystem that is independent of institutions, combining Deepbook's order book and the Options Liquidity pool to enhance the liquidity and stability of market makers. This article is based on an article by Kyrie, Typus Finance CGO, and was compiled and translated by TechFlow. In the world of cryptocurrency, "institutional coins" have always been a term that makes retail investors turn pale. But why is it so difficult for project parties to get rid of the influence of institutional investors? There are complex business logic and practical considerations behind this. High cost and institutional dependence are the dilemma of launch coins. To successfully issue a cryptocurrency project, the cost is often far beyond the imagination of ordinary people. Only the launch coin process may cost 1-3 million US dollars. This cost is mainly used for: the development and audit of smart contracts, the provision of initial liquidity, the cooperation fee of market makers, the cost of listing on exchanges, and marketing expenses. This astronomical cost forces many project parties to bow to "institutional forces" such as institutional investors, centralized exchanges, and market makers. Once on this path, the project will fall into a vicious circle: Early financing dilution: a large number of tokens sold to institutions at preferential prices Listing costs pushed up: listing fees offered by large exchanges often cost hundreds of thousands of dollars Market-making costs are high: professional market makers require high fees and token ratios Market cap management pressure: institutional investors require maintaining token prices, pushing up marketing expenses The consequences of this dependence are: Token distribution is biased towards institutions, and retail investors find it difficult to obtain fair participation opportunities. The potential of the project is prematurely overdrafted, and retail investors bear risks after institutional profit-taking. It goes against the original intention of blockchain decentralization. The project party loses its focus on product development and is forced to invest a lot of energy in price maintenance. Innovative attempts in the Sui ecosystem: Typus Finance's breakthrough road "If we can provide sufficient liquidity like a centralized exchange on the first day, retail investors no longer need to rely on institutions." This seemingly simple idea has become the mission of the Typus Finance team in the Sui ecosystem. In Sui, this high-performance public on-chain, Typus sees the possibility of breaking through the dilemma. Their solution cleverly combines Deepbook's order book system, just like building a professional exchange infrastructure on-chain. However, having only basic infrastructure is not enough. The real innovation is how they solve the problem of liquidity. Imagine if you could combine the idle funds in the lending protocol with the technical expertise of professional market makers, and balance the risk through Options tools, what would happen? Typus is working towards this direction. Their goal is not only to replace second-tier centralized exchanges but also to fight for more discourse power for Sui ecosystem projects when negotiating with large exchanges. Deepbook: Redefining order book infrastructure. In the encryption market, the order book system is like the "heart" of the exchange, and its performance directly determines the vitality of the entire platform. For a long time, this core infrastructure has been monopolized by centralized exchanges, and they have built a high wall to block decentralized projects. Typus chose to cooperate with Deepbook precisely because of the breakthrough potential of this native Sui ecosystem order book system. It's like opening a new door on a high wall, giving decentralized trading the same performance as centralized exchanges. The excellence of Deepbook is reflected in three key dimensions: First, its ultimate performance: it can process tens of thousands of orders per second, and the response speed is fast enough to satisfy the most demanding high-frequency traders, with latency as low as milliseconds, like a pair of wings for on-chain traders. Support for various complex order types to meet the needs of different trading strategies Secondly, its native liquidity advantages. Imagine a constantly flowing river, Deepbook is the main channel of this river: directly connected to all liquidity providers in the Sui ecosystem, greatly reducing arbitrage opportunities across platforms, making prices more real, and providing the market with deeper liquidity pools, allowing large orders to trade with ease. Finally, and most revolutionary, is its cost advantage: making full use of Sui's low gas fee characteristics, reducing the cost of each transaction to a minimum, cutting out the layer-by-layer commission of intermediaries, leaving more profits to market participants, and creating more profit space for market makers, attracting more professional players to enter. The combination of these advantages makes Deepbook not just a simple order book system but an infrastructure that can reshape market rules. It's like a modern trading port, not only able to handle massive transactions but also allowing every participant to enjoy an unprecedented trading experience. In Typus's vision, Deepbook is the cornerstone of realizing decentralized launch coins. When high-performance infrastructure meets innovative liquidity solutions, new projects finally see hope to get rid of institutional dependence. Typus's innovation: Options-driven liquidity solution. In the traditional cryptocurrency market, market makers are like tightrope walkers. They need to constantly adjust positions between buying and selling, finding balance in price fluctuations. This job seems simple, but it is full of challenges and risks. Imagine that when the market suddenly has a big pump or big dump, the market maker's situation is like maintaining balance in a storm. They face two major threats: one is directional risk brought by price changes (Delta risk), like the tightrope being blown crooked by the wind; the other is the cost brought by constantly adjusting positions (Gamma risk), like constantly adjusting balance on the tightrope. To cope with these risks, market makers usually adopt conservative strategies: expanding the bid-ask spread is equivalent to increasing their "insurance premium," reducing the liquidity provided is equivalent to reducing the height of walking on the tightrope, and directly withdrawing from the market during market fluctuations, choosing to temporarily give up the performance. This is why we often see when the market needs liquidity the most, but the price will fluctuate significantly because market makers choose hedging. Typus provides a highly creative solution. Instead of letting market makers face risks alone, it is better to provide them with a complete "protection system": First, Typus established an innovative Options Liquidity pool. This is like providing a safety net for tightrope walkers, allowing them to move more confidently in the market. The project party can establish an Options pool here, providing risk hedging tools for market makers, and the entire process is automatically managed by smart contracts, transparent and efficient. Secondly, Typus cleverly integrates the lending protocol. Imagine that there is a lot of money sleeping in the Sui ecosystem, and Typus awakens these funds, providing market makers with more ammunition. This not only reduces the cost of market makers' funds but also improves the efficiency of fund utilization in the entire ecosystem. Finally, Typus designed a clever trap that stimulates...