Katana, a DeFi-focused Ethereum layer-2 blockchain, is acquiring decentralized exchange IDEX to expand the onchain derivatives market, The Block reported on March 23.

Katana is a project developed with backing from Polygon Labs and GSR. It plans to build a new Katana Perps platform through the IDEX acquisition.

Katana CEO Matthew Fisher (매튜 피셔) said he concluded Katana should move toward strengthening its own stack and revenue structure. He said its goal is to build infrastructure for the onchain perpetual futures market.

The terms of the acquisition were not disclosed.

IDEX is a decentralized exchange launched in 2017 on Ethereum and later expanded to Polygon. It is based on a hybrid model that combines a centralized exchange's high-performance matching engine with an onchain settlement system.

It integrates a traditional centralized order book with automated market maker (AMM) functions, focusing on boosting liquidity and trading speed. With the acquisition, IDEX will be used as a core component of Katana Perps and develop into a platform that integrates spot and derivatives trading in a single onchain environment, The Block reported.

Katana Perps aims to provide a continuous trading environment and efficient capital deployment for crypto and institutional investors, backed by market makers such as GSR, Selini Capital and Auros, The Block reported.