What is Derive?
Derive is a decentralized protocol that facilitates on-chain trading of options, perpetuals, and structured products for cryptocurrencies like ETH and BTC.
Key Features:
- Cross-Margin: Utilizes all asset balances (e.g., USDC, WETH, WBTC) as collateral across all perpetual and options positions within a subaccount, allowing users to manage risk more effectively.
- Cross-Asset Collateral: Supports various base assets as collateral, enabling strategies such as selling a BTC call with WBTC collateral (covered call) or longing a BTC perpetual with ETH collateral.
- Portfolio Margin: Employs a scenario-based model to determine margin requirements based on the maximum potential loss of an entire portfolio, enhancing capital efficiency for complex trading strategies.
DRV Token:
Derive’s native utility token, $DRV, is integral to the platform’s ecosystem. Users can earn $DRV through trading activities, staking, and participating in governance decisions. The platform also offers airdrop programs for eligible participants.
Platform Accessibility:
Derive is a self-custodial platform, meaning users retain control over their private keys and funds. It operates on an Optimistic Rollup that settles to the Ethereum blockchain, ensuring security and scalability.