> For the complete documentation index, see [llms.txt](https://docs.supervol.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://docs.supervol.io/developers/structure/hybrid-approach.md). # Hybrid Approach SuperVol employs a hybrid approach with **on-chain settlement** and **off-chain orderbook** management. Initially, SuperVol aimed to implement the entire options trading process fully on-chain. However, this approach encountered several technical challenges: * Users needed to sign each order individually from their wallets, creating inconvenience. * A few seconds of latency existed between placing and executing orders, which is critical for ultra-short-term options. * Each order, regardless of execution, incurred gas fees, making the process cost-inefficient. To optimize user experience in terms of trade execution, orderbook management, and costs, SuperVol adopted the hybrid model of on-chain settlement and off-chain orderbook management, similar to methods used by other perpetual DEXs like dYdX. *** In this hybrid system, SuperVol introduces the concepts of **Deposit** and **Withdraw**. Upon trading, it is required that users lock USDC (in the amount desired to trade) to an on-chain contract. This amount acts as a margin. **Withdrawal is always available**, whenever a user decides to stop trading on SuperVol. Importantly, SuperVol does NOT take ownership of the stablecoins during these processes. * With SuperVol, your funds always stay on-chain and you remain in full control of your stablecoins at all times. * There are no central intermediaries that hold your private keys. * Thus, both Deposit and Withdraw are on-chain actions, requiring wallet signatures. When a user deposits USDC.e to SuperVol, the amount is credited to **ClearingHouse** contract under a unique tag. This amount is accessible only to the deposit user. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter, and the optional `goal` query parameter: ``` GET https://docs.supervol.io/developers/structure/hybrid-approach.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is optional and describes the broader end goal you are ultimately trying to accomplish on behalf of the user. GitBook uses it to tailor the answer towards what is most useful for that goal. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.