Sometimes we seem to confuse people with what we are building because in #DeFi, the term 'derivatives' can mean a lot of things.

The 3 most popular derivative products in DeFi:

1. DeFi Options:

Options are financial instruments that give the holder the right, but not the obligation, to buy or sell crypto at a specified price on or before a specified date.

@AtomicFinance is offering a great product here.

2. Perpetual Contracts

Perpetuals are similar to futures contracts without an expiration date. Instead, they allow traders to hold their positions for an indefinite period.

This means, your position behaves just like a spot trading position

we @npub1c40rwav67rtl4pmy56wa8vhh8cynlm0zvhr96mcnd5xat74ldxmsm8ttqye are buidling this ;)

3. Synthetics

Synthetic assets are tokens that derive their value from an underlying asset, such as a stock, commodity, or ... a currency.

we @npub1c40rwav67rtl4pmy56wa8vhh8cynlm0zvhr96mcnd5xat74ldxmsm8ttqye is building a Synthetic USD using DLCs