Why Paradex’s Downtime Matters for Onchain Derivatives

[johnblockbuster]

Paradex operates as a decentralized perpetual futures exchange, allowing users to trade leveraged crypto derivatives without handing custody to a centralized intermediary. Despite that model, the outage highlighted how even decentralized platforms can depend on complex infrastructure layers that introduce operational risk.

The exchange has become a major venue for onchain derivatives. Data from DefiLlama shows Paradex ranks eighth by 30-day trading volume, with more than $37 billion in activity over the past month. That scale amplified user concern during the outage, particularly for traders with open leveraged positions.

[kevin1]

$37b volume and a full outage is gonna make ppl real nervous