Defi Derivative Projects
There are a couple defi derivative projects in the cryptosphere. Below, we share a couple of the ones we know of.
Horizon Protocol is a defi derivatives project on the BNB Chain for the creation and trading of synthetic assets known as zAssets. Horizon Protocol's zAssets provides investors exposure to real-world assets' risk/return profiles via smart contracts on the blockchain
Forked from Synthetix, Horizon Protocol will leverage the time-tested derivative liquidity protocol and bring interoperability, scalability and a whole new array of tradable, real-world derivative products to the DeFi ecosystem. Implementation on the BNB Chain offer users the speed and dependability that is currently lacking on the Ethereum blockchain.
Synthetix is a defi derivatives project on the Ethereum blockchain for the creation and trading of synthetic assets known as synths.
Known as the OG synthetic assets project, Synthetix started in 2018 after pivoting away from a stable coin project. Synths can be almost anything that has a reliable price feed, including cryptocurrencies like BTC or ETH, commodities like gold and silver, and fiat currencies like USD. Inverse synths and index synths are also available, giving traders an easy way to get short exposure or hedge existing holdings.
Mirror Protocol is a defi derivatives project on the Terra blockchain network for creating and trading synthetic assets known as mAssets, or Mirrored Assets.
dYdX is a defi derivatives project on the Ethereum blockchain with a focus on perpetual futures trading.
Perpetual futures, also known as perpetual swaps, are futures contracts without an expiration date. dYdX provides perpetual futures for a myriad of crypto coins with options for up to 20x leverage. Support for L2 also lowers the cost of trading.
Hegic is a defi derivatives project on the Ethereum blockchain with a focus on options trading.
Launched in 2020, it allows traders to call / put options on ETH and WBTC. To facilitate more trading Hegic takes care of the Ethereum gas fees for the trader by charging a premium, which allows users to trade as often as they like without paying additional gas fees.
The platform is committed to ensuring the anonymity of its users with no KYC and registration is fast and easy and allows its users to trade options without adhering to traditional regulations.
UMA is a defi derivatives project on the Ethereum blockchain, targeting the protocol level, with a focus on the creation, maintenance, and settlement of "priceless" financial contracts. These contracts can be based off or a price, or they can also be based on some kind of state instead of price movement.
The defi derivatives created on UMA are very unique and interesting, including:
- Range Tokens - collateral and debt creation
- Success Tokens - call option
- KPI Options - call options w/ growth incentives, and
- Synthetic tokens - derivative contracts that track the movement of an external price or data feed
These tokens are then guaranteed by UMA's oracle system that allows for flexible information updates backed with a dispute resolution system.