how does the orderbook work?

trading on cypher provides advantages over other DEXs and synthetic asset platforms. a p2p-traded orderbook prevents LPs from suffering from impermanent loss, which is always possible with an AMM-style DEX. this will also help the protocol attract more institutional participants, which boosts liquidity and reduces friction of the trading process by keeping bid-ask spreads relatively narrow. the orderbook will also help the platform bridge the gap for non-crypto native users, allowing them to interact with other users in a manner that is similar to their regular trading experience on centralized platforms.
we’ve partnered with serum, a decentralized orderbook methodology, that allows our protocol to bring true price discovery forward – something that will be essential to pushing significant volume from both institutional and retail participants. This can only be achieved via an orderbook methodology.