Why would a DEX and a lender merge into one company?

This week, we're joined by Formation CEO Luke Truitt to unpack the Orca and Loopscale merger and why he now calls Orca a market structure company.

We explore why liquidity caps onchain credit, neo-clouds borrowing onchain, xORCA's fee cut, and the rise of prop AMMs on Solana. Enjoy!

TIMESTAMPS:

00:00 Luke Truitt, CEO of Formation

02:28 Why a DEX and a Lender Merged

05:30 ONYC vs ACred: Liquidity Caps Credit

10:55 Neo-Clouds Borrowing at 14–20% Onchain

13:57 DAS London

14:35 Neo-Clouds Borrowing at 14–20% Onchain (cont.)

17:47 Clarity Act and Regulated US Markets

21:17 Token Holders in Crypto M&A

28:24 DAS London

29:02 Token Holders in Crypto M&A (cont.)

34:28 Monetizing Credit Through Trading

38:03 xORCA Fees Cut 40%→10%

44:54 Competing for New Lending Markets

48:59 Are DeFi Yields Mispriced?

51:50 Prop AMMs Hit ~36% of Solana DEX

56:21 Formation's Next 12 Months

FOLLOW THE SHOW

› 0xResearch – https://x.com/0xResearch

› Marc – https://x.com/marcarjoon

› Luke – https://x.com/Luketruitt

› Carlos – https://x.com/0xcarlosg

› Telegram – https://t.me/+UFFz4z3qyrhhMDYx

› Blockworks – https://x.com/Blockworks

RESOURCES

› Blockworks Agentic Detection

https://blockworks.com/insights/introducing-agentic-detection-asset-monitoring-built-for-the-ai-era

› Start building with the Blockworks Unified API

https://blockworks.com/insights/introducing-the-blockworks-unified-api

› Blockworks Research → Research, data, governance, tokenomics, and models – all in one place: https://www.blockworksresearch.com/

› Free Daily Newsletter: https://blockworks.co/newsletter

EVENTS

› Join us at Digital Asset Summit London Nov 10-11

https://blockworks.com/events

DISCLAIMER

Nothing said on 0xResearch is a recommendation to buy or sell securities or tokens. This podcast is for informational purposes only. Any views expressed are opinions, not financial advice. Hosts and guests may hold positions in the companies, funds, or projects discussed.