Architecture
The Lemon Trading Engine is built on the SyntheticPerpetualWithVmarkets smart contract, designed for performance and security.1. Frontend (UI)
The interface you interact with. It handles:- Wallet connection.
- Data visualization (Charts, Tables).
- Transaction preparation.
2. Execution Layer (API)
When you submit an order, our API:- Validates your request (margin, leverage, asset).
- Simulates the transaction to ensure it will succeed.
- Constructs the transaction data.
- Sends it back to your wallet for signature.
3. Smart Contracts (Onchain)
The core logic is modular and distributed across several key contracts on the Base blockchain:- SyntheticPerpetualRouter: The primary user entry point for orchestrating trades.
- MarketManager: The Brain that manages the registry of markets and coordinates the payout waterfall.
- PositionManager: An ERC-721 contract that manages the position lifecycle and NFT encapsulation.
- Vault: The liquidity layer managing the Buffer Pool and Insurance Pool.
- Market Instances: Lightweight contracts for specific asset pairs (e.g., BTC, ETH).
Trading Parameters
To ensure market stability and risk management, the following limits are enforced:| Parameter | Value |
|---|---|
| Minimum Margin | 1 USDC |
| Maximum Margin | 1,000,000 USDC |
| Minimum Leverage | 1x |
| Maximum Leverage | 100x |
| Opening Fee | 0.20% (20 bps) |
| Liquidation Threshold | 80% |
Leverage limits may vary depending on the specific asset’s volatility and liquidity profile.
Supported Assets
Currently, Lemon Markets supports a wide range of Crypto pairs. We are actively developing support for:- Forex (e.g., EUR/USD, JPY/USD)
- Commodities (e.g., Gold, Oil)
- Stocks (e.g., AAPL, TSLA)