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Injective

INJ
DeFi / Smart Contract PlatformProof of Stake (Tendermint BFT via Cosmos SDK)Launched 2021
Max Supply
100.00M
Circulating
100.00M
Launched
2021
Minute-Level Data From
2022-12-28

What it does

Injective is a Layer 1 blockchain built specifically for decentralized finance, offering a suite of pre-built financial modules including a fully on-chain order book DEX for spot, perpetuals, and futures trading. INJ is the native token used for staking, governance, collateral, and protocol fees. All protocol fees are burned periodically, creating deflationary pressure.

How it works

Injective is built on the Cosmos SDK with Tendermint BFT consensus, achieving 25,000+ TPS with ~0.6 second block times and IBC interoperability. Unlike most DEXs that use AMMs, Injective features a fully on-chain order book exchange with frequent batch auction (FBA) matching to prevent front-running. The chain natively supports derivatives, prediction markets, and RWA protocols through pre-built modules. Every two weeks, 60% of all protocol trading fees are used to burn INJ tokens via auction. The remaining 40% goes to stakers. Injective's 'Canonical Bridge' connects to Ethereum, Solana, Cosmos, and other chains.

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Problem it solves

Traditional DeFi on Ethereum requires off-chain order books, AMM approximations, and high gas costs that disadvantage retail traders. Injective solves these problems with a purpose-built financial blockchain where complex financial products (perpetuals, futures, options) can run entirely on-chain with institutional-grade order matching and no gas fees for traders. The front-running-resistant FBA design protects traders from MEV extraction.

Key Differentiator

Purpose-built DeFi Layer 1 with a fully on-chain order book supporting spot, perpetuals, and futures β€” with biweekly fee auctions that burn 60% of all protocol revenue, creating systematic deflationary pressure as adoption grows.

Tokenomics

Supply Model
Deflationary (60% of biweekly protocol fees used to burn INJ via auction)
Staking
Validators and delegators stake INJ; 40% of protocol fees distributed to stakers; ~15% APY historically
Burn Mechanism
60% of all protocol trading fees burned via biweekly auction mechanism; total supply decreasing toward a deflationary equilibrium
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Ecosystem

Chain: Injective (own Layer 1 blockchain, Cosmos SDK based, IBC-compatible)
Depends on: DeFi trading volume on Injective DEX, IBC cross-chain activity, INJ burn rate from fee auctions, new protocol deployments
Influences: On-chain derivatives market, Cosmos DeFi ecosystem, INJ supply via regular burns

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Sources

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Supply figures and project details are approximate and may not reflect the latest changes. Always verify from official sources before making decisions. This information is for educational purposes only β€” not financial advice.