Decentralized Exchange (DEX) Development

We build decentralized exchanges across AMM, order book, RFQ and hybrid designs. We design routing, fee, incentive and governance mechanisms around your liquidity sources and target traders, while modeling LP returns, market conditions and MEV exposure. We built HeliSwap, the first decentralized exchange on Hedera.

How it works

1
Define the market
We map pairs, traders, liquidity sources, fee model and target volumes.
2
Select the market structure
We compare AMM, order book, RFQ and hybrid designs against your liquidity strategy, then recommend one.
3
Model liquidity provider returns
We calculate what providers earn under realistic volatility and volume, including after incentives taper.
4
Design against value extraction
We model sandwich attacks, back-running and toxic order flow, then build mitigations into the mechanism.
5
Build a thin trading path
We deliver one real swap and one real liquidity position, reviewed weekly for slippage and gas.
6
Stress test and audit
We run adversarial market scenarios and dependency failures, then commission separate code and economic reviews.
7
Launch with conservative limits
We open with caps and live monitoring, then add integrations and tune parameters as volume grows.

Frequently asked questions

Has LimeChain built a DEX before?

Yes. LimeChain built HeliSwap, the first decentralized exchange on the Hedera network, covering the exchange mechanics, liquidity provision and the user interface. LimeChain has also published an automated market maker guide drawn from that work, and built PEAR Protocol, a trading tool that represents crypto pair positions as ERC-721 tokens.

Which DEX model should we build: AMM, order book or RFQ?

The right model follows your liquidity source and your users. Automated market makers suit long-tail assets and passive liquidity providers. Order books suit professional flow and tight spreads, and need a chain or off-chain matching layer that supports the throughput. RFQ suits large sizes and institutional counterparties. LimeChain compares them against your actual liquidity strategy rather than the current fashion.

How do you deal with impermanent loss and liquidity incentives?

Impermanent loss is a property of the mechanism, so it is addressed in design through curve or range choice, fee structure and the pairs supported, rather than compensated for indefinitely with token emissions. LimeChain simulates provider returns under realistic volatility and volume to show whether liquidity survives once incentives taper, because incentive programmes that mask an unsound mechanism fail the moment they end.

How is MEV handled in a DEX?

MEV is a design constraint in any onchain market. LimeChain models sandwich attacks, back-running and toxic order flow against the chosen mechanism, then applies mitigations that fit it: slippage limits, batch auctions, commit-reveal ordering, private or protected transaction routing, or off-chain matching with onchain settlement. Residual exposure is quantified in the design rather than treated as an accepted background cost.

Do you build the liquidity as well as the exchange?

No. LimeChain builds the exchange, the incentive mechanics and the integrations, and simulates liquidity behaviour under realistic conditions. Sourcing actual liquidity is a commercial matter involving market makers, treasury decisions and partnerships. LimeChain will tell you plainly when a design depends on liquidity commitments that are not yet secured, since that is the most common cause of a technically sound DEX failing.

Can you integrate with aggregators and existing DeFi infrastructure?

Yes. Aggregator integration, routing compatibility, oracle feeds, bridge connections, vault and yield integrations and wallet support are usually essential to launch rather than optional. LimeChain scopes these in architecture because compatibility requirements from aggregators and routers constrain contract interfaces, and retrofitting them after launch is materially more expensive.

How do you audit a DEX?

LimeChain runs internal testing with invariants, fuzzing, end-to-end flows and adversarial economic scenarios, then coordinates independent audit before material value is at risk and remediates and retests the findings. For a DEX, LimeChain treats economic review as a separate concern from contract audit, because a contract can be provably correct while the market design it implements is exploitable.

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Hedera SDK

Hedera JSON RPC Relay

Hedera Local Node

Hedera Multisig

SOLmany Validators

Solana Transaction Tool

Gimlet

Zest

NEAR Javascript API

Decentralized Exchange (DEX) Development

How it works

Define the market

Select the market structure

Model liquidity provider returns

Design against value extraction

Build a thin trading path

Stress test and audit

Launch with conservative limits