The term Serum refers to both the Serum decentralized exchange and its utility token, SRM. The Serum token, as a cryptocurrency, operates natively on the Solana blockchain, which means Serum transactions are extremely fast. On Ethereum, the token is cross-listed as an ERC-20 token. The MegaSerum, a 1 million-token denomination of Serum, is also available. SRM may be converted to MSRM and vice versa. The Serum Foundation established a supply limit of 1,000 MSRM. MSRM token holders have exclusive access to Serum ecosystem governance.

The primary function of SRM is to act as the utility token for the Serum decentralized cryptocurrency exchange. Serum tokens are mostly used on the Serum DEX.

History

Sam Bankman-Fried, the Serum team's leader, began his career as a Wall Street investment banker and financial advisor at Jane Street Capital. Bankman-Fried departed Jane Street in 2017 to create Alameda Research, a cryptocurrency trading business that presently performs daily deals in the range of 600 million USD to 1.5 billion USD in digital assets and derivatives. Individual and institutional investors can use the company's liquidity and digital asset management services.

Bankman-most Fried's recent effort is Serum. The project is a participant in the burgeoning field of decentralized finance, which provides banking, investing, and trading services in a completely decentralized way, without the involvement of banks or other organizations. Serum, being a decentralized exchange, enables users to purchase, sell, and swap cryptocurrency money without the need of a central database, user list, or website.

How does it work

Serum functions similarly to Ether. It can be held, traded, and exchanged in the same way that any other money may. The Serum team even uses Solana's virtual machine to help with smart contract execution. Because it is listed as an ERC-20 fungible token, it may participate in native exchanges with tokens based on the Ethereum network. Because Serum is built on the Solana blockchain, transactions are extremely fast. Solana can handle 50,000 or more transactions per second, compared to Ethereum's 15 to 30 tps.

There are also two advantages to Serum, that makes it one of a kind. The first characteristic is its distributed architecture. Despite the fact that crypto money are held on completely distributed blockchains, exchanges are often standard websites. This means that customer lists and crypto storage lockers might be compromised. Almost all of the major bitcoin thefts that have made headlines in the last five years have targeted centralized cryptocurrency exchanges. There is no central authority to accept or refuse transactions, demand hefty transaction fees, or expose consumers to security concerns with a decentralized exchange like Serum.

The second benefit is because Serum is a Solana-based currency. That implies it is appropriate for a wide range of jobs that are now out of reach for major digital currencies. Scalability is a huge benefit for Solana over other currencies.

Total supply and circulation

SRM supply is restricted to 10 billion. There are presently 372,782,297 in circulation.