# Underlying Asset

Any cryptocurrency+ any stable coin

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(

$F$

) and price celling($C$

), $x,y$

be the call and put token generated respectively. We divide the premium into two parts: stable coin $U$ and any cryptocurrency $Ee$

, where $E$

is the quantity and $e$

is the price. Since stable coin preserves value, we may always assume that its price is $1$

. Then, we define the following: $U=\frac{(C-F)y^2}{\sqrt{x^2+y^2}},E=\frac{C-F}{C}\frac{x^2}{\sqrt{x^2+y^2}}$

Using a calculator, we find that $\frac{\partial U}{\partial x}<0,\frac{\partial U}{\partial y}>0,\frac{\partial E}{\partial x}>0,\frac{\partial E}{\partial y}<0$

. 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.Last modified 1yr ago