# Orderbook

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Orderbook is ALEX's scaling solution layer that brings **instant trade confirmation** to the security of Bitcoin.

Orderbook uses a hybrid on-chain/off-chain design, whereby a commitment to buy or sell certain asset is communicated in a cryptographically signed message, which is then matched by an off-chain matching engine before settling on-chain.

Orderbook is designed such that many types of market exchanges, not only a traditional CLOB but also an NFT marketplace or social trading, can be built on top.

## Why do we need the Orderbook? <a href="#cdf8" id="cdf8"></a>

Orderbook is ALEX's scaling solution layer that brings **instant trade confirmation** to the security of Bitcoin. Orderbook therefore addresses a key user experience issue our community has on Stocks - that the trade confirmation requires waiting of 10-15 minutes (along with Bitcoin block confirmation).

## What are the benefits of using the Orderbook?

There are a number of benefits for Bitcoin/Stacks users to use Orderbook to trade assets.

### Instant trade confirmation with Bitcoin finality

As we said earlier, Orderbook is our scaling solution layer that combines instant trade confirmation with Bitcoin finality. Orderbook therefore addresses a key user experience issue our community has on Stocks - that the trade confirmation requires waiting of 10-15 minutes (along with Bitcoin block confirmation).

### Gas-free orders

Orderbook uses a hybrid on-chain/off-chain design, whereby a commitment to buy or sell certain asset is communicated in a cryptographically signed message, which is then matched by an off-chain matching engine before settling on-chain.

This design means users of Orderbook can create/close orders gas-free and confirm their orders instantly without having to wait for the underlying block confirmation.

### Security of your assets

You have the full ownership and control of your assets on Orderbook. Zero credit risk.

### By developers, for developers

Ease and fun of development is at the core of Orderbook design. Orderbook is designed such that many types of market exchanges, not only a traditional CLOB but also an NFT marketplace or social trading, can be built on top.