---
description: Overview
---

# Architecture

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The chart below illustrates the architecture of the DPMM of DUET Protocol (Powered by Deri).\


<figure><img src="https://3239422205-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MWcJcJ-o4endOrYuRje-887967055%2Fuploads%2FpSiO9u6k7LorC03qih0l%2Fimage.png?alt=media&#x26;token=1b5a6135-ab3b-404c-9d8c-72d8160317f1" alt=""><figcaption></figcaption></figure>

## How it works

The "How it works" section is intended to give users a rough overview of the various mechanisms implemented on DUET Protocol, resulting in giving a transparent and clearer picture on how exactly DUET Protocol's engine and backend is beating.

{% content-ref url="dpmm-proactive-market-making" %}
[dpmm-proactive-market-making](dpmm-proactive-market-making)
{% endcontent-ref %}

{% content-ref url="external-custody" %}
[external-custody](external-custody)
{% endcontent-ref %}

{% content-ref url="funding-fee" %}
[funding-fee](funding-fee)
{% endcontent-ref %}

{% content-ref url="leverage" %}
[leverage](leverage)
{% endcontent-ref %}

{% content-ref url="margin-requirement" %}
[margin-requirement](margin-requirement)
{% endcontent-ref %}

## Is trading on DUET Protocol risk-free?

Trading Margins & Contracts on DUET Protocol includes but is not limited to - a high level of risk, and may not be suitable for all kinds of investors. The enormous degree of leverage can work in favor of you as well as against you. Before making the decision to invest using DUET Protocol, you should carefully consider your level of experience, investment objectives and risk appetite. There is a possibility that you may lose part of your investment or all of your initial investment. You should be aware of all the risks associated with trading contracts and margin. DUET Protocol will not be responsible for any losses, damages or claims arising from events falling within the scope of the events mentioned above. \
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We urgently advise you not to invest money that you cannot afford to lose and we also recommend you to seek advice from an independent financial adviser, If you have any questions or doubts!
