Orderbook

The core engine of price discovery on Bullet.

Overview

The exchange operates with an on-chain orderbook that is enshrined directly into the runtime of the rollup. Unlike platforms that run an off-chain orderbook, Bullet's matching engine runs as part of the rollup’s core logic, making the entire process transparent and verifiable.

All matching logic is executed on-chain and proven using zero-knowledge proofs. This allows every node in the rollup network to independently verify that trades are matched correctly, without needing to trust a centralized operator.

By embedding the orderbook and matching engine into the rollup itself, the system ensures that trade execution is consistent, tamper-proof, and provably correct.

Sequencing Rules

To encourage competitive liquidity and sustainable market microstructure, we mandate opinionated Application Specific Sequencing rules at the network level, namely that maker cancels and post-only orders are prioritised over taker orders like limit and IOC. This allows tight liquidity to be posted without excessive interference from arbitrageurs, which often leads to a FIFO latency race in most exchanges.