Perpetual futures are futures contracts with no expiration date. The “perpetual” status is maintained by paying/receiving the funding fee.
Everlasting options are the equivalent of perpetual futures for options which gives traders long-term options exposure without the effort, risk, or expense of rolling positions.
A power perpetual is a perpetual derivative indexed to a power of the price of some underlying instrument.
First of all, we specifically implemented the case of , i.e. the perpetuals of BTC^2 and ETH^2. Since the square of BTC price is a huge number, we downscale it to a smaller unit - milli (prefix for 1/1000). Namely, the object being traded on Deri is mBTC^2 and mETH^2, which correspond to 1/1000 of BTC^2 and ETH^2, respectively.
Base tokens are the tokens accepted by Deri Protocol as contributed liquidity by the liquidity providers or as collateral by the traders.
This is the fund fee converted to a time unit of one day. The funding that one long contract pays one short contract is always accrued on a second basis, so daily funding really means the following:
Daily funding = funding rate per second * 864000,
where 864000 is the number of seconds per day.
Please note that a positive funding fee means that longs are paying shorts, while a negative funding fee means that shorts are paying longs.
Delta (Everlasting Options Only)
The ratio of option price change to the underlying price change. Mathematically, Delta is the first-order differential of the option price as a function of the underlying price.
For perpetual futures, Funding period is the time period for which the funding fee (MARK-INDEX) is paid.
For everlasting options, Funding period is the time period for which the funding fee (MARK-PAYOFF) is paid. For example, if for everlasting options Funding Period = 7 days, then every second a long (short) contract pays (receives) a funding fee = (MARK-PAYOFF)/72*4*60*60
Gamma (Everlasting Options Only)
The ratio of option Delta change to the underlying price change. Mathematically, Gamma is the second-order differential of the option price as a function of the underlying price.
Spot price of the underlying asset. The Index Prices on Deri Protocol are provided by Oracle.
Price of the market, given by Deri Proactive Market Making (DPMM). This is the trading price of a trade with an infinitely small trading volume (i.e. without slippage) at the current moment.
Min Trade Unit (Notional)
The volume of any trade (in terms of notional) must be an integer multiple of Min Trade Unit.
Among all the base tokens, Base0 is used as the accounting unit and to settle the PnL. Essentially, this token plays the role of “cash” in the trading business.
Theoretical Price of Everlasting Options
The theoretical price of everlasting options calculated by the model. This is used as the starting point of the DPMM (in place of the Index Price for the futures DPMM).
Total long positions minus total short positions for the current trading symbol. If positive (negative), traders’ total positions on the long side are more (less) than the short side, which means the pool is passively taking a short (long) position.
The average price paid when trade is executed