Antimatter Finance
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  • šŸ”—Antimatter B2 Sidechain
    • Introduction - Scaling and Transaction Fees
    • Token Economy of B2
      • Configurations
    • Technical Background
    • Chain Architecture
      • System Contracts
      • On-Chain Governance
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      • Slashing
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  • Introduction
    • Antimatter Overview
    • Antimatter Labs: Vision & Roadmap 2022
    • Community & Resources
    • Marketing Material
    • Educational Infographics
    • Challenges & Solutions
  • šŸ—ļøAntimatter Structured Product
    • Dual Investment
      • Rules
      • On-chain Configurations
      • Risk Control
      • Terminology & Calculations
    • Recurring Strategy
    • DeFi Option Vault - DOV
      • Mechanism
    • Weekly Sharkfin
      • Mechanism
  • šŸ“ˆAntimatter Perpetual Options
    • Introduction
      • Options Basics
      • Antimatter Features
      • Comparative analysis
      • Technical Whitepaper
      • Structure
      • Option Token Symbol System
    • Mechanism
      • Price Equilibrium and Arbitrage
      • Generation and Redemption
      • Underlying Asset
      • Leverage Ratio
      • Arbitrage Example
      • Slippage & Fees (full disclosure)
      • Oracles
      • Permission-less protocol
    • Mathematics
      • Modelling Kit
      • Mathematical Model
  • šŸ› ļøAntimatter Dao
    • Introduction
    • Governance Policies
  • šŸ›’Antimatter Non-fungible Finance
    • Introduction
    • How to Create an Index
  • ā„¹ļøUser guides
    • Connect to a Wallet
      • Switch Wallet Network
    • Bull & Bear Tokens
      • How to Create an Option
      • Tools
    • Account System
    • Getting Started - Antimatter Structured
      • Dual Investment Subscription
      • Recurring Strategy Subscription
      • Defi Option Vault Subscription
      • Defi Option Vault Withdrawal
      • Decision Guide for Dual Investment
  • Developers
    • Contracts
    • GitHub
    • Auditing report
  • Token
    • Token Utility
    • Token Information
    • Token Bridge
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  1. Antimatter Perpetual Options
  2. Mechanism

Underlying Asset

Any cryptocurrency+ any stable coin

PreviousGeneration and RedemptionNextLeverage Ratio

Last updated 3 years ago

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To generate an Antimatter token, one needs to provide two types of underlying assets: one type of cryptocurrency and a stable coin. For example, ETH as the cryptocurrency and USDT as the stable coin. Generating a call token generally requires more ETH, while generating a put token requires more stable coin. The generating process only takes a second.

As usual, we have a difference between the price floor(FFF) and price celling(CCC), x,yx,yx,y be the call and put token generated respectively. We divide the premium into two parts: stable coin $U$ and any cryptocurrency EeEeEe, where EEE is the quantity and eee is the price. Since stable coin preserves value, we may always assume that its price is 111. Then, we define the following: U=(Cāˆ’F)y2x2+y2,E=Cāˆ’FCx2x2+y2U=\frac{(C-F)y^2}{\sqrt{x^2+y^2}},E=\frac{C-F}{C}\frac{x^2}{\sqrt{x^2+y^2}}U=x2+y2​(Cāˆ’F)y2​,E=CCāˆ’F​x2+y2​x2​Using a calculator, we find that āˆ‚Uāˆ‚x<0,āˆ‚Uāˆ‚y>0,āˆ‚Eāˆ‚x>0,āˆ‚Eāˆ‚y<0\frac{\partial U}{\partial x}<0,\frac{\partial U}{\partial y}>0,\frac{\partial E}{\partial x}>0,\frac{\partial E}{\partial y}<0āˆ‚xāˆ‚U​<0,āˆ‚yāˆ‚U​>0,āˆ‚xāˆ‚E​>0,āˆ‚yāˆ‚E​<0. This feature agrees with our expectation in that generating more call tokens requires more cryptocurrency and less stable coin, while generating put tokens requires more stable coins and less cryptocurrency. it is required because the platform must be prepared for any possible token redemption at any time.

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