On August 1, Binance, the world's largest exchange, announced the Sei Network's launch pool, which will go live trading on August 15, so we'd like to take a moment to learn more about Sei Network. Along with the questions I had during my research, I organized the answers in format.
The Sei Network is a general-purpose layer that specializes in a fundamental use case of blockchain: "Exchange". The most prominent projects in the Web 3.0 space are characterized by having an underlying transactional infrastructure. From the DeFi boom sparked by the launch of Uniswap, to the NFT boom which would not have been possible without Opensea, the transaction infrastructure had significant role and supported their success. Similarly, Axie Infinity and Stepn, which are prominent in the gaming and social sectors where user experience is important, have their own trading infrastructure that has allowed them to grow seamlessly. However, the lack of a general-purpose trading infrastructure that is specific to these sectors may explain the somewhat slower growth of the sector as a whole compared to the DeFi and NFT booms. It is also noteworthy that $RLB and $UNIBOT, which have recently garnered attention for their growth, are also trading infrastructure.
Likewise, most notable success of Web3 is rooted in the "exchange" of digital assets, so "exchange" is the most fundamental and successful example of blockchain.
Sei Vision, Source: Sei blog
Sei is an open-source, general-purpose layer 1 that specializes in exchange which is the most common purpose of blockchains. It not only offers specialized transaction environments for various fields such as Uniswap, Opensea, and Sandbox, which are competitors in the blockchain space, but also aims to create an infrastructure that meets the demands of institutional-grade players, providing low transaction latency and high throughput.
Exchange Trilemma, Source: Sei blog
<aside> ❓ Hold on, isn't the concept of low latency and high throughput more suitable for centralized exchanges (CEX)? On-chain trading might not achieve traffic efficiency compared to CEX. Is there really a need to provide it through a Layer?
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When considering only low transaction latency and high throughput, using centralized exchanges (CEX) would indeed be appropriate. However, providing a DeFi and on-chain trading environment offers the following advantages: