1xMM Pools

    A new type of pools where yields are determined by the performance of Futures and Options markets

    Overview

    Each 1xMM Pool is related to one token (e.g. WBTC, WETH, UNI) and gives access to Perpetually Rolled Futures (PRFs) on the token. PRFs correspond to a combination of one PCMO Call and one PCMO Put. PRFs are available for different terms, nevertheless, to maximize liquidity, all PRFs are traded within a single pool: long term liquidity faces short term liquidity.

    The Perpetual Constant Maturity Options (PCMOs) are based on DERIBIT Futures and Options market prices. The Yield corresponds to the accrued performance of the PCMO Put (if market goes down), or the performance of the PCMO Call option (if market goes up), within the fixing period.

    Flexible Term

    Multiple staking durations, defining yield computation and minimum holding period; but position can be kept forever.

    Position Type

    Choose between Long and Short positions to receive yields depending on price movements.

    Natural Leverage

    Depending on liquidity offered on each side, access leveraged returns when staking onto the short liquidity side.

    Available Terms

    1 day
    1 week
    2 weeks
    3 weeks
    1 month
    2 months
    3 months

    Long PRF Position

    Hold a Long PCMO Call and short PCMO Put
    Receive the Yield if the underlying Coin value, in USD, has appreciated. Pay the Yield if the underlying Coin value has decreased.

    Short PRF Position

    Hold a Long PCMO Put and short PCMO Call
    Receive the Yield if the underlying Coin value, in USD, has decreased. Pay the Yield if the underlying Coin value has appreciated.

    Yield Computation

    The yield exchanged between long and short positions reflects the accrued performance of the relevant PCMO over the fixing period.

    At the end of each fixing period, the corresponding PCMOs are re-evaluated based on the spot price movement - PCMO Call premia if the coin price rises, PCMO Put premia if it falls. A proportional fraction of the premium performance (premium perf × FixingPeriod / Term) is then transferred from the losing side to the winning side. To account for differences in notional value on each side, the yield is notional adjusted.

    Notional adjustment means that performance is adjusted by the ratio: Total_Notionals_Payer / Total_Notionals_Receiver. For example: if short pays long and if the total notional on the short side is twice the total notional on the long side, long side depositors receive twice the accrued performance. Total notional means the sum of liquidities over all the terms on a given side.

    Fixing Periods

    The pool fixing period depends on each pool and can be adjusted in time.

    Standard Fixing Periods

    General rules for fixing period by pool term

    CoinFixing Period

    WBTC

    5min

    WETH

    5min

    SOL

    5min

    TON

    5min

    Others

    10min

    Liquidity Surge Adjustments

    If liquidity starts to surge in the pools, the fixing period could be decreased to:

    5min
    3min
    2min
    1min

    Pool Benefits

    Comprehensive benefits of our pool system

    1

    NO INSOLVENCY

    Worst case, yields converge to 0

    2

    FULLY DECENTRALIZED

    Can run with limited IT requirements

    3

    NO IMPERMANENT LOSS

    As with other DEXs

    4

    OBSERVABLE COST OF CARRY

    For Crypto assets, with an Index

    5

    NATURAL LEVERAGE

    Yield depends on liquidity ratio

    No competitor currently provides such a rate-like term-structure solution

    Fee Structure

    Low fees are charged through a first one-off payment (the Minimum Fee) and a prorated fee after the minimum fee period.

    Fee Schedule

    Comprehensive fee structure by term

    TermFee (Daily)Fee (Yearly)
    1D
    		0.35 bp1.2775%
    1W
    		0.30 bp1.0950%
    2W
    		0.30 bp1.0950%
    3W
    		0.25 bp0.9125%
    1M
    		0.25 bp0.9125%
    2M / 3M
    		0.20 bp0.7300%

    Minimum Fee

    The Minimum Fee corresponds to 50% of the Term fee.

    Minimum Fee = Term Fee × 50%

    Prorated Fee Calculation

    The prorated fee is charged at the exit of the position.

    Prorated_Fee = Fee × Holding_Period - Minimum_Fee

    Fees are designed to be competitive while ensuring the sustainability of the protocol. The prorated fee structure allows for fair pricing based on actual holding periods.

    Pool Penalty

    For all pools, if a user doesn't remain in the pool for at least

    50% of the Term
    , a fixed penalty will apply. The penalty can be adjusted in time but is currently set to
    0.10 bp
    . The penalty amount is left onto the pool, for other users to earn.

    At the same time, if users generate a positive PnL, they will receive only their profit share, calculated on a pro rata temporis basis. This measure ensures fairness by distributing profits according to the time users have participated in the pool.

    Create Your Pool

    If you wish to create a pool for your token, or if you wish to create a pool and a 1xMM-like token, contact us.