# 3. Pain Point & Market Analysis

## 3.1 Crypto Trading Pain Point

### **3.1.1 Limited Asset Diversification**

In the current crypto market, there is a wide variety of tokens available for trading, but many ecosystems fail to support this diversity. Most applications only offer limited token options, such as Bitcoin and Ethereum. As a result, users often leave these platforms in search of ecosystems that provide a better and more comprehensive trading experience.

### **3.1.2** Trading Analysis Challenges

For any trade to be executed, users must first analyze the tokens. However, users often lack the necessary analysis, especially when dealing with a large list of tokens. Most applications focus primarily on the trading aspect, with some offering automation features. However, automated trading can lead to creators exploiting the system, resulting in users potentially losing their funds.

### **3.1.3** Current Hedging Challenges

Currently, the two major on-chain trading methods are AMM and Order Book. AMM relies on having enough funds in the staking pool to provide users with a pair of tradable options. On the other hand, an order book requires a high volume of users to ensure that orders can be matched. Both methods face challenges in quickly providing a wide range of products due to limited liquidity and order matching constraints.

## _3.2_ Market Analysis

### **3.2.1 On-Chain Stock Trading with Crypto**

<figure><img src="https://718049331-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FkOmpZnhLCrdaptEDr3uA%2Fuploads%2Ffbxnf9OJlGLEYIY8YXhs%2Fimage.png?alt=media&#x26;token=b79b54a9-639b-40cd-9a25-b4477e898397" alt=""><figcaption><p>Figure <em>3.1: On-chain Trading Value</em></p></figcaption></figure>

As of April 5, 2025, the majority of on-chain trading occurs on major chains like Solana and Ethereum, with approximately $2 billion traded in the last 24 hours. This data highlights that while significant trading activity exists on-chain, it is largely concentrated within well-established ecosystems that offer better tools and infrastructure. In contrast, Starknet saw only about $4.38 million in trading volume over the same period. This gap reveals a major opportunity, smaller ecosystems need better tools and applications to unlock their trading potential.

### **3.2.2 Crypto Market Overview**

<figure><img src="https://718049331-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FkOmpZnhLCrdaptEDr3uA%2Fuploads%2F5QeBhavCk814GdPyBnP4%2Fimage.png?alt=media&#x26;token=d4f4f962-beb0-4c33-9ce5-e0252e4b5960" alt=""><figcaption><p>Figure <em>3.2: Crypto Market Capitalization</em></p></figcaption></figure>

<figure><img src="https://718049331-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FkOmpZnhLCrdaptEDr3uA%2Fuploads%2F3lSWvufb4vh3dEoUFskc%2Fimage.png?alt=media&#x26;token=2e2af52a-c9cb-42be-9f5a-2bcb4c2bd1d8" alt=""><figcaption><p>Figure <em>3.3: Other Coin Trading Volume</em></p></figcaption></figure>

This research highlights the market’s diversity and the vast size of the tradable asset landscape. Out of the $2.65 trillion market, around 70% is concentrated in Bitcoin and Ethereum, with the remaining spread across other tokens. For example, ZRO had over $73 million in 24-hour trading volume, yet it's still not available for trading on many smaller ecosystems, such as DApps on Starknet.

### **3.2.3 Trading On Starknet**

<figure><img src="https://718049331-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FkOmpZnhLCrdaptEDr3uA%2Fuploads%2F9AkyAIS6KlCyehWbFbUx%2Fimage.png?alt=media&#x26;token=c8432f8e-fd63-4ab8-a462-597d58e301dc" alt=""><figcaption><p>Figure <em>3.4: Starknet Trading Volume</em></p></figcaption></figure>

Since Trivex offers trading through contracts, it operates more like a perpetuals platform rather than just a swap based one. For example, Starknet currently sees $4.78M in trading volume, all through swaps, with no perpetuals options available. This highlights the gap in the ecosystem and the strong potential for a platform like Trivex to drive more transactions and trading volume by addressing this unmet need.
