Founders Fund-backed N1 buys derivatives platform 01 Exchange

Layer 1 blockchain N1, backed by Peter Thiel’s Founders Fund, is acquiring decentralized derivatives platform 01 Exchange in a move to bring its flagship trading product directly into the network as it seeks to compete with larger crypto exchanges.

N1 is a new blockchain designed to serve as a financial network, integrating native trading infrastructure into its base layer. The blockchain includes a validator-secured orderbook, RFQ system and margin engine that share liquidity and security across the network, aiming to provide high-speed, trustless trading and settlement.

01 Exchange, which was incubated within the N1 ecosystem, has handled more than $3 billion in trading volume and serves over 25,000 users. N1 said integrating the platform’s technology, liquidity and community will allow it to streamline product development and strengthen network economics instead of relying primarily on third-party applications to drive ecosystem growth.

“01 Exchange has already shown what is possible on N1, and bringing it into the network lets us move faster, deepen liquidity, and deliver a more integrated trading experience,” Dima Romanov, CEO and co-founder of N1, commented on the move.

N1 said the acquisition will support the upcoming rollout of N1 2.0, which is set to expand the network with request-for-quote markets, vaults, equities, additional on-chain financial products and native mobile applications.

“With N1 2.0, our next version, we’re expanding that foundation across RFQ markets, vaults, equities, mobile, and other on-chain financial products. We believe vertically integrated networks will define the next generation of exchanges, and N1 is being built to lead that shift,” Romanov added.

The deal, which is expected to close within six months, will be settled using a combination of equity and tokens. Existing 01 Exchange users will retain their assets and previously earned points without requiring migration.