📑Mechanism
Last updated
Last updated
Perennial's Intents are signed EIP712 messages which are verified by a market contract to modify a user's position. When an Intent is executed it becomes a normal position within a market that subject to the same fees and liquidations as a position submitted onchain. What makes Intents unique is that they are priced directly with the maker executing the order. Takers are guaranteed the price they submit, inclusive of fees. The pricing occurs without the intervention of the Market's AMM as the Maker takes the inverse of the order.
Lets dive into some details:
As is standard in Perennial, all actors in the system must first deposit collateral to back their respective positions. Given this, an intent is only valid if the account associated with the intent has collateral in that corresponding market.
When executing a Taker's intent, the Maker must take the other side of the intent for it to be settled down to the AMM. This ensures that the Taker's intent has no impact on the AMMs price.
In the above example a Taker wants to open a 10 Long intent, the Maker must open a 10 Short position to keep the skew the same.
Intents take the form of a signed EIP-712 signed message. You can see more here.
