Make Perpetual Trades

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Make Perpetual Trades

Futures represent demand of a certain asset to increase or decrease in future. Think of it as call/put option with unlimited strike date.

Synthetic Futures vs. Synthetic Assets

Synthetic futures cannot be used to claim the corresponding asset, but can have a same value with collateral and provides fairer liquidation mechanisms than current synthetic asset. While synthetic assets maintain their price from liquidation focused in one account(e.g. buyback order), synthetic futures use liquidation for arbitrage opportunity.

Futures in depth

In synthetic futures, there are two type of futures to overcollaterize and undercollaterize.

Xup (I think the asset will be appreciated in near future)

Xup assets are generated from overcollaterization, and its liquidation goes to Xdown <> collateral pair for Xdown holders to claim their liquidation.

(some illustration to describe overcollaterization)

Xdown (In case one thinks the asset will be depreciated in near future)

Xdown assets are generated from undercollaterization, and its liquidation goes to Xup <> collateral pair for Xup holders to claim their liquidation.

(some illustration to describe undercollateralization)


F1 is the non-fungible token to claim ownership of future options. It is a synthetic option contract where it enables its owner mint synthetic futures in oracle price recorded from its creation.