Aevo

Aevo occupies a unique position in the decentralized exchange space as one of the only platforms offering both perpetual futures and options trading under one roof. Built by the team that created Ribbon Finance, Aevo has deep roots in DeFi options and has been steadily expanding its product lineup heading into 2026. We tested the platform extensively, and while it delivers on its core promise of sophisticated derivatives trading, there are a few things you should know before depositing funds.

What is Aevo?

Aevo is a high-performance derivatives exchange that runs on its own custom OP Stack Layer 2 rollup (Aevo L2, chain ID 2999). The protocol was created by the team behind Ribbon Finance, a pioneering DeFi options vault protocol that launched in 2021. Ribbon Finance was co-founded by Julian Koh and Ken Chan, both former Coinbase software engineers, which gives the team strong technical credentials in both traditional finance infrastructure and blockchain development.

In 2023, Ribbon Finance and Aevo formally merged. The $RBN governance token was converted to $AEVO through governance proposal RGP-33, unifying the two protocols under a single brand. This merger combined Ribbon's expertise in structured options products - like covered call and put-selling vaults - with a full-featured derivatives exchange capable of handling spot-like order flow.

The technical architecture is worth understanding. Aevo uses an off-chain orderbook for matching trades with on-chain settlement through its optimistic rollup. This hybrid approach achieves throughput of up to 5,000 transactions per second while inheriting Ethereum's security guarantees for final settlement. Because all trading happens on the Aevo L2, there are zero gas fees for placing, modifying, or cancelling orders. You only pay trading fees.

The platform launched with options on ETH and has since expanded to perpetual futures on dozens of assets. By 2025, Aevo had processed over $30 billion in total transactions and grown its user base to over 250,000 active traders. TVL stabilized at approximately $200 million, positioning Aevo as a mid-tier but growing derivatives venue.

One of Aevo's most distinctive features is its pre-launch token markets, which let users trade perpetual contracts on tokens before those tokens are officially listed on other exchanges. This has proven enormously popular for speculating on anticipated airdrops and new token launches. The pre-launch market feature attracted significant volume and helped Aevo carve a niche that few competitors have replicated.

In the second half of 2025, Aevo made headlines with the launch of Aevo Degen, a product offering up to 1000x leverage on tokenized stocks like Coinbase (COIN) and MicroStrategy (MSTR). This aggressive product targets short-term speculative traders and uses a zero-upfront-fee model where users only pay a cut on profits. The Q4 2025 roadmap also included BTC options and an altcoin options project slated for 2026.

Features and Functionality

Trading Interface

Aevo's trading interface is polished and well-designed. We found it to be one of the most professional-looking DEX interfaces we have tested, with a clean layout that separates the orderbook, chart, and order entry into distinct panels. The charting is powered by TradingView integration, providing the full range of technical indicators, drawing tools, and timeframes you would expect from a professional trading terminal.

For options trading specifically, Aevo provides an options chain view that displays calls and puts across multiple strike prices and expiration dates. You can view Greeks (delta, gamma, theta, vega) for each contract, which is essential for options traders managing risk. The implied volatility surface is also displayed, helping traders identify mispriced contracts.

Order types include market, limit, stop-loss, and take-profit for perpetuals. For options, you can trade both call and put contracts with various expirations: daily, weekly, monthly, and quarterly. The platform supports complex multi-leg strategies, though executing these requires manual entry of each leg rather than a purpose-built strategy builder.

During our testing, the interface was responsive with no noticeable lag. Orders were confirmed within a second, and the position management view clearly shows unrealized PnL, margin usage, and liquidation prices. One small criticism: the interface can feel crowded on smaller laptop screens, particularly when the options chain is open alongside the charting panel.

Supported Markets

Aevo supports approximately 80 trading pairs across perpetual futures and options. The perpetual futures selection includes all major cryptocurrencies - BTC, ETH, SOL, AVAX, ARB, OP, DOGE, and many others. Options are available on BTC and ETH with more assets planned for 2026.

The pre-launch market feature adds unique value here. At any given time, Aevo may list 5 to 15 pre-launch tokens that are not available anywhere else. These are perpetual contracts on tokens anticipated to launch soon, and they attract a specific audience of airdrop speculators and early-stage token traders.

Leverage varies by market. Major pairs like BTC and ETH support up to 20x leverage on perps, while smaller altcoins may be capped at 10x or lower. The Aevo Degen product breaks this convention entirely with its 1000x leverage on tokenized stocks, though this carries extreme risk and should only be considered by traders who fully understand the liquidation dynamics.

With 80 pairs, Aevo offers more variety than Vertex Protocol (50 pairs) but still trails larger platforms like dYdX (200+) and Hyperliquid (100+). The options product, however, gives Aevo a significant edge since very few on-chain platforms offer options trading at all.

Liquidity and Order Book Depth

Aevo reports a TVL of $200 million and daily trading volume averaging around $400 million. These numbers place it in the middle of the decentralized derivatives exchange rankings - behind Hyperliquid and dYdX, but competitive with platforms like Vertex and Drift.

In our testing, BTC and ETH perpetual spreads were tight enough for comfortable trading - typically 0.01 to 0.02 percent on the major pairs during normal market conditions. Options spreads were wider, as expected for on-chain options where market-making is more complex. We noticed that options liquidity was best on near-term expirations (daily and weekly) and thinner on longer-dated quarterly options.

Aevo has been actively onboarding institutional market makers throughout 2025 to improve orderbook depth. The results are noticeable - compared to our earlier experiences with the platform, the order books have visibly deepened on major pairs. Pre-launch markets tend to have the widest spreads and thinnest liquidity, which makes sense given the speculative and uncertain nature of those tokens.

One area where liquidity could improve is the options market on non-ETH assets. BTC options launched in late 2025, and depth is still building. The planned altcoin options expansion in 2026 will need strong market maker support to be viable.

Advanced Features

The combination of options and perpetual futures on a single platform is Aevo's most compelling advanced feature. This allows sophisticated traders to execute strategies that are simply impossible on perps-only platforms:

1. Covered calls: Hold a long perp position while selling call options against it for premium income
2. Protective puts: Buy put options to hedge existing long perp exposure
3. Straddles and strangles: Trade volatility by buying or selling both calls and puts simultaneously
4. Basis trades: Exploit pricing differences between perps and options on the same underlying asset

The pre-launch token markets are another unique feature. We tested trading a pre-launch token and found the experience smooth, though with notable caveats: spreads are wide (sometimes 1 to 3 percent), funding rates can be extreme, and settlement at token launch can be unpredictable. These markets are high-risk by nature, but for informed traders, they offer a way to gain exposure before anyone else.

Aevo also supports AEVO token staking with a reported APR exceeding 10 percent. Stakers receive trading fee discounts based on their staking tier, which is a nice loyalty incentive for regular users.

Fees and Pricing

Fee Structure

Aevo charges a flat 0.05 percent taker fee for both perpetual futures and options trading. There are no separate maker fees published as of our review, though the platform occasionally offers maker rebate promotions. Gas fees are zero since all trading occurs on the Aevo L2 - you never pay gas for placing, modifying, or cancelling orders.

Deposits and withdrawals from Aevo itself are free. However, bridging funds to the Aevo L2 from Ethereum mainnet incurs standard Ethereum gas costs, which can range from $5 to $30 depending on network congestion. Once your funds are on the L2, all subsequent trading is gasless.

AEVO token stakers receive trading fee discounts based on their staking tier. The exact discount schedule depends on the amount of AEVO staked and the duration of the stake. This adds an incentive layer for frequent traders to hold and stake the native token.

The Aevo Degen product uses a different fee model: zero upfront fees, but a percentage cut on profits. This is designed for the high-leverage speculative audience that product targets.

How Aevo Fees Compare

Here is how Aevo's fee structure compares to other major decentralized derivatives exchanges:

On pure perpetual futures fees, Aevo is competitive but not the cheapest. Its 0.05 percent taker fee matches dYdX and is slightly more expensive than Hyperliquid (0.045 percent) and significantly more than Vertex (0.02 percent). Where Aevo justifies its pricing is through the options product - if you want on-chain options trading, Aevo is essentially the only serious venue, making direct fee comparisons less relevant.

The zero gas fee model is a meaningful advantage over exchanges like Vertex and GMX that charge per-transaction gas. For traders who place many orders per day - especially options traders who frequently adjust positions - the gas savings add up.

Real-World Cost Examples

Here are some practical fee examples to illustrate real trading costs on Aevo:

A $10,000 market buy of ETH-PERP would cost $5.00 in taker fees with zero gas. On Vertex, the same trade would cost $2.00 plus roughly $0.20 gas ($2.20 total). On Hyperliquid, $4.50 with no gas.

An ETH call option purchase worth $5,000 in premium would cost $2.50 in fees on Aevo. On centralized options exchanges like Deribit, the equivalent fee would be around $1.50 to $3.00 depending on your tier. The comparable on-chain options alternatives to Aevo are limited, so this pricing is effectively market rate for decentralized options.

A pre-launch token trade of $2,000 would cost $1.00 in fees. Given that pre-launch tokens often move 10 to 50 percent in a day, the 0.05 percent fee is negligible relative to the potential price movement.

For a trader executing 10 perpetual trades per day with an average size of $20,000, monthly Aevo fees would total approximately $3,000. The same activity on Vertex would cost roughly $1,320, and on Hyperliquid around $2,700. Aevo is the most expensive of the three for pure perps trading, but the cheapest if options are part of your strategy.

Security and Safety

Smart Contract Audits

Aevo has been audited by two security firms:

1. Zellic (August 2023) - Audit covering the options and perpetual futures smart contracts
2. ChainSecurity (February 2024) - Audit focused on the L2 rollup architecture and settlement contracts

Both firms are reputable in the blockchain security space. ChainSecurity in particular has audited major protocols like MakerDAO, Compound, and AAVE. The scope of audits covers the most critical components - the trading contracts and the rollup infrastructure.

However, Aevo's code is not open source, which is a notable limitation. Users and independent researchers cannot verify the smart contract code themselves. This stands in contrast to open-source competitors like Vertex and Reya, where the code can be independently inspected. The closed-source approach requires users to place greater trust in the audit firms and the development team.

Security Track Record

Aevo experienced a significant security incident in December 2025. Legacy Ribbon Finance DeFi Options Vault (DOV) contracts were exploited for approximately $2.7 million due to an oracle vulnerability. On December 6, an oracle upgrade was deployed that changed price precision to support 18 decimal places for newer tokens. However, some older assets on the platform still used 8 decimal places, creating a mismatch that an attacker exploited six days later.

The attacker created three accounts, minted a large number of option tokens with minimal collateral, and drained the vaults. Importantly, the Aevo L2 exchange itself was not affected - the exploit targeted only the legacy Ribbon DOV vaults that had been migrated but not fully updated.

The Aevo team responded by proposing that affected vault users take a 19 percent haircut on their position value, with the DAO forfeiting approximately $400,000 of its own vault positions to partially offset losses. As of early 2026, the stolen funds had not been recovered.

This incident is a meaningful mark on Aevo's security record. While it did not affect the core exchange, it demonstrates the risks of maintaining legacy code through a major protocol migration. Prospective users should weigh this when evaluating the platform.

User Protection Features

Aevo implements several security measures:

1. $1,000,000 bug bounty program - the largest among the DEXes in our comparison, incentivizing white-hat researchers to find vulnerabilities before malicious actors do
2. 7-day timelock on protocol upgrades, giving users a full week to review proposed changes and withdraw funds if they disagree
3. Multisig governance requiring multiple signers for protocol modifications
4. Optimistic rollup architecture inheriting Ethereum's security for final settlement of all trades

The 7-day timelock is the longest among the platforms we reviewed and represents strong protection against malicious governance changes. The $1 million bug bounty is also substantial and demonstrates the team's commitment to proactive security.

Getting Started with Aevo

Connecting Your Wallet

To begin trading on Aevo, visit aevo.xyz and click the Connect button. Aevo supports MetaMask, WalletConnect, Coinbase Wallet, and other Ethereum-compatible wallets. Upon first connection, you will be prompted to sign a message to create your trading account - this is gasless and costs nothing.

The onboarding flow is clean and walks you through the basics. First-time users are presented with a brief overview of the platform before being dropped into the trading interface.

Making Your First Deposit

Aevo requires deposits to be bridged to the Aevo L2. The platform supports USDC and USDT as primary collateral. Click Deposit and you will see the bridge interface, which transfers your tokens from Ethereum (or supported L2s) to Aevo L2.

Bridging from Ethereum mainnet typically takes 10 to 20 minutes and costs $5 to $30 in gas depending on network conditions. Some users may find faster and cheaper routes by bridging through Arbitrum or Base first, then to Aevo L2. Once funds arrive on the L2, they appear in your trading balance and all subsequent activity is gasless.

The bridging step is the main friction point in Aevo's onboarding. Platforms like Hyperliquid have streamlined this with direct deposit flows, and Vertex allows trading natively on multiple L2s without requiring a bridge to a proprietary chain. Aevo's single-chain approach means you are committed to their L2 once you deposit.

Placing Your First Trade

With funds deposited, you can choose between perpetual futures and options. For perps, select your market (for example ETH-PERP), choose market or limit order type, enter your size, and confirm. The order executes within a second with zero gas fees.

For options, navigate to the options chain, select your desired expiration (daily, weekly, monthly, or quarterly), choose a strike price, and decide between call or put. The options interface displays relevant Greeks and implied volatility to help inform your decision. Options trading does have a learning curve, and if you are new to options, we recommend starting with small positions until you understand how time decay and volatility affect your positions.

User Experience

Desktop Platform

The Aevo desktop web application is excellent. The interface is among the most polished we have seen on a DEX, with a professional aesthetic that feels closer to a centralized exchange than a typical DeFi protocol. Performance is smooth - we experienced no lag or rendering issues during our testing, even during volatile market conditions when order flow was heavy.

The platform offers both a simplified view for casual traders and an advanced view with the full options chain, orderbook depth, and detailed position analytics. Switching between perpetuals and options is just a tab click away, making it easy to manage a multi-strategy portfolio.

Mobile Experience

Aevo does not have a dedicated native mobile app. The web interface is responsive on mobile browsers but, like most trading platforms optimized for desktop, the experience is compromised on smaller screens. The options chain in particular is difficult to navigate on a phone. For checking positions and placing simple perp orders, mobile browsing works adequately, but active options trading really requires a desktop.

Customer Support

Aevo's primary support channel is Discord, where the team and community moderators are active. During our testing, responses to basic questions came within a few hours. Documentation at docs.aevo.xyz covers the platform's features, fee structure, and API access. The documentation is well-organized and detailed, with clear explanations of options concepts for newcomers.

The team maintains an active presence on Twitter/X and publishes regular blog updates about new features and partnerships. There is no live chat or traditional ticketing system, which is standard for decentralized protocols but can be inconvenient for users accustomed to centralized exchange support.

Aevo vs Competitors

Here is a detailed comparison of Aevo against its primary competitors:

Aevo vs Hyperliquid: Hyperliquid dominates on raw volume, liquidity, and market selection. If you only trade perps, Hyperliquid is the stronger choice with tighter spreads, more pairs, and slightly lower taker fees. But Hyperliquid does not offer options trading. If options are part of your strategy - even occasionally - Aevo is the only serious decentralized venue. The pre-launch token markets are also a unique draw that Hyperliquid has only partially replicated.

Aevo vs dYdX: The comparison is similar to Hyperliquid. dYdX offers more markets (200+), higher leverage (100x), and comparable fees. Both platforms use their own chains for gas-free trading. Aevo's differentiator is again the options product and pre-launch markets. For traders who only need perps, dYdX offers more breadth. For derivatives traders who want options and perps together, Aevo is the clear winner.

Aevo vs Vertex: Vertex beats Aevo on fees by a wide margin (0.02 percent vs 0.05 percent taker). Vertex also offers universal cross-margin and an integrated money market that Aevo lacks. However, Vertex does not offer options trading and has a smaller pair selection (50 vs 80). Aevo's zero gas model is also more convenient than Vertex's L2 gas costs. Choose Vertex if fees are your priority; choose Aevo if you want options and pre-launch markets.

Who Should Use Aevo?

Aevo is best suited for these types of traders:

Options traders who want a decentralized, self-custodial venue for crypto options. Aevo is essentially the only serious choice for on-chain options trading with real orderbook depth. If you trade calls, puts, straddles, or any options strategy, Aevo should be your primary platform.

Pre-launch speculators who want to trade tokens before they hit the broader market. Aevo's pre-launch markets are among the most active in DeFi, and the zero-gas environment makes frequent repositioning practical.

Sophisticated derivatives traders who combine options and perps in multi-leg strategies. The ability to manage both product types on a single platform with unified collateral is valuable for portfolio-level risk management.

Ribbon Finance alumni who are already familiar with the team and the AEVO token ecosystem.

Aevo may not be ideal for:

1. Fee-sensitive perps traders - at 0.05 percent taker, Vertex and Hyperliquid are cheaper for pure perpetual trading
2. Transparency advocates - the closed-source code limits independent verification
3. Users who dislike bridging - depositing requires bridging to the Aevo L2, adding friction
4. Mobile traders - no dedicated app and the web experience is desktop-focused

Frequently Asked Questions

What are pre-launch markets on Aevo?

Pre-launch markets allow you to trade perpetual contracts on tokens before they officially launch and get listed on other exchanges. Prices are set by supply and demand on Aevo. These markets are popular for speculating on upcoming airdrops and new project launches but carry higher risk due to thin liquidity and price uncertainty.

How is Aevo related to Ribbon Finance?

Aevo was built by the Ribbon Finance team, and the two protocols formally merged in 2023. Ribbon Finance's $RBN token was converted 1:1 to $AEVO. Ribbon's experience with structured options products directly influenced Aevo's options trading design and risk management approach.

Was Aevo ever hacked?

In December 2025, legacy Ribbon Finance DeFi Options Vault contracts were exploited for approximately $2.7 million due to an oracle precision vulnerability. The main Aevo L2 exchange was not affected, and the incident was limited to legacy vault contracts. The Aevo DAO proposed a partial compensation plan with a 19 percent haircut for affected users.

Does Aevo charge gas fees?

No. All trading on Aevo is gasless because it operates on its own OP Stack L2 rollup. You pay zero gas for placing, modifying, or cancelling orders. The only gas cost is the initial bridge from Ethereum mainnet to the Aevo L2, which is a one-time expense when depositing.

What is the AEVO token used for?

AEVO is the governance token with a total supply of 1 billion and approximately 110 million in circulation. Holders can stake AEVO for governance voting power, trading fee discounts, and staking rewards exceeding 10 percent APR. The token was created by converting the earlier Ribbon Finance $RBN token.

Can I trade options on Aevo?

Yes, options trading is one of Aevo's core strengths. You can trade call and put options on BTC and ETH with daily, weekly, monthly, and quarterly expirations. The options chain displays full Greeks and implied volatility. Aevo is one of the very few decentralized platforms offering real orderbook-based options trading.

What leverage does Aevo offer?

Perpetual futures on major pairs like BTC and ETH support up to 20x leverage. Smaller altcoins may have lower leverage caps. The Aevo Degen product offers up to 1000x leverage on tokenized stocks, though this is an extremely high-risk product designed for short-term speculation.

Is Aevo open source?

No, Aevo's code is not open source. This limits the ability of independent researchers and users to verify the smart contract code. The platform has been audited by Zellic and ChainSecurity, but the closed-source nature is a trade-off compared to open-source competitors like Vertex and Reya.

Final Verdict

Aevo earns an 8.7 out of 10 in our assessment. The platform occupies a genuinely unique niche as the only serious decentralized exchange offering both options and perpetual futures with real orderbook depth. For options traders seeking a self-custodial venue, it is essentially the only game in town in 2026. The pre-launch token markets add further differentiation, and the gasless L2 architecture makes active trading practical.

The downsides are worth noting honestly. The December 2025 vault exploit, while limited to legacy contracts, is a blemish on the security record. The closed-source code requires more trust than open-source alternatives. And for traders who only need perpetual futures, Aevo's 0.05 percent taker fee is higher than what Vertex (0.02 percent) and Hyperliquid (0.045 percent) charge.

Our recommendation: if options are any part of your on-chain trading strategy, Aevo is a must-try. If you only trade perpetual futures, other platforms offer better economics. The Ribbon Finance team brings proven DeFi experience, the product roadmap for 2026 is ambitious with altcoin options and deeper market maker integration, and the platform performs well in daily use. Just be aware of the trust trade-offs with closed-source code and factor the December 2025 incident into your risk assessment.