Extended. Is It Too Late to Jump In? Week 1 Farming Test Results Extended is a perpetual DEX built on Starknet, currently ranked 6th by trading volume with a daily volume of $1.7B. Strengths - Strong team behind the project – former Revolut employees. - Deep order books, allowing for trading almost as comfortably as on a CEX. - Smooth and stable UI with no lag. Rumors suggest potential future integration of Extended into Revolut's services. My Farming Strategy I used a classic arbitrage between Extended and another exchange, but with some twists. The main volume was executed with BTC. On the Ethereal exchange, the Bitcoin price was almost always higher than on Extended, by about $20–70. My logic was: - When the price difference peaked (around $60–70), I would open a short on Ethereal and simultaneously a long on Extended. - I gradually scaled the position up to 0.8 BTC. *Important:* Trades were opened in coin amounts, not dollar equivalents. For example: 0.1 BTC short – 0.1 BTC long. - When the spread narrowed to $10–30, I started scaling down the position to 0.05–0.1 BTC, but didn't close it completely. I used $5k in margin on each exchange. After completing the required volumes, I left open positions in BTC and ETH with a total size of $20–50k. Why I Used Market Orders During the test week, volatility was mostly low. The BTC price on Extended's 1-minute candles barely moved, and waiting for limit orders to fill took too long. This significantly slowed down farming, so I switched to market orders. Results - Trading Volume: $880k - PnL from Hedging: +$2,200 - Weekly Leaderboard Rank (Volume + PnL): ~200 - Costs: ~$170 The taker fee on Extended is 0.025%. For $1M in volume, that's $250 in fees. For my $880k, it was roughly $220. Thanks to this hedging strategy, I saved about 23% on fees. Now, for the key point: this week I earned **125 Xpoints**. It seems like 90% of the points go to the top 50-100 on the leaderboard (team & whales). The effective cost per point for me was **$1.36** (not great). On X, I saw a farmer with $220k volume on SOL/XRP pairs get 90 points. So, it's possible trading less liquid pairs yields more points. However, they also provide liquidity in the project's vault, and their number of referrals is unknown. Point Value on OTC & at Differ Xpoints are currently trading around $2–3 on OTC. Calculations: - Weekly Allocation: 1 million points - Remaining Farming Duration: ~11-12 weeks (until end of March) - Expected Final Supply: ~55.3 million Xpoints According to the team, 30% of tokens will be allocated to the airdrop. This gives us the following valuations at different FDVs: FDV -> $ per 1 Xpoint $200M -> $1.085 $300M -> $1.62 $400M -> $2.17 $600M -> $3.25 $800M -> $4.34 $1B -> $5.42 $1.2B -> $6.51 $1.4B -> $7.59 My Next Steps I'll likely test pairs with lower Open Interest this week, but only in "hold" mode without large volumes. After that, I'll decide if it's worth continuing. Conclusion In my opinion, it's already **too late to actively farm** this perp DEX due to the sharp increase in volume and competition. We are definitely not early here. Back in September, with a daily volume of $100–300M, you could farm points for $0.15–0.3 each by simply burning fees, and even use approved bots. Who might still find it worthwhile: - You can farm at zero cost using limit orders (no fees on them). - You use Extended as a hedge against another exchange, again with limits, though losses on the spread are still possible due to price differences. - You're a mid-to-high net worth individual looking for a place to park stables. The exchange has its own vault with ~15% APR, and you can earn Xpoints at a ratio of 1 point per $600 of liquidity provided. Extended is certainly not a bad exchange and is worth attention. But it only makes sense to engage if you can farm points for less than $1 each. Only then does a real upside remain. If you liked this format, let me know. I have two other perp DEXs on my radar – waiting for point accruals and can write about the results. I'd appreciate it if you shared this post with a friend 🤝
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There are 3 spots available in Ethereal https://app.ethereal.trade/?ref=10O90NW0219E Please activate it only if you really need it and plan to actively work on the project. I’ll be posting a detailed plan with the execution strategy soon.
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There are 3 spots available in Ethereal https://app.ethereal.trade/?ref=10O90NW0219E Please activate it only if you really need it and plan to actively work on the project. I’ll be posting a detailed plan with the execution strategy soon.
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