Everstrike

Trade perpetual options on BTC and ETH.

Welcome to the first decentralized perpetual options exchange.

WHY TRADE PERPETUAL OPTIONS INSTEAD OF PERPETUAL FUTURES?

Delta one products such as futures do not have convexity. Their payoff profile is linear and symmetric.

The perpetual option is the ultimate financial derivative. It offers both convexity and optionality, and can express an arbitrary amount of payoff profiles. Unlike the European-style option, it doesn't expire.

Note that the perpetual call option with strike price zero is functionally equivalent to the perpetual future.

WHAT IS FUNDING?

Funding is a periodic exchange of money between longs and shorts. Perpetual futures and everlasting options both have funding. The goal of funding varies for each derivative:

- Perpetual futures: Keep the price of the future aligned with the spot price of the underlier.
- Perpetual options: Keep the price of the option aligned with the intrinsic value of the option.

WHAT IS THE FUNDING RATE?

The Funding Rate determines the amount of money that is exchanged between longs and shorts, at the end of each Funding Interval.

The Funding Rate is determined by the market.

WHAT DOES IT MEAN WHEN THE FUNDING RATE IS POSITIVE?

When the Funding Rate is positive, longs pay shorts.

The amount exchanged from longs to shorts (Funding Payment) is determined by the following formula:

Funding Payment = Funding Rate * Position Size

WHAT DOES IT MEAN WHEN THE FUNDING RATE IS NEGATIVE?

When the Funding Rate is negative, shorts pay longs.

The amount exchanged from shorts to longs (Funding Payment) is determined by the following formula:

Funding Payment = Funding Rate * Position Size

WHAT IS THE FUNDING INTERVAL ON EVERSTRIKE?

The Funding Interval on Everstrike is 1 hour.

WHAT IS THE FUNDING PERIOD?

The Funding Interval on Everstrike is 10 hours.

WHAT IS A HYBRID DEX?

A hybrid DEX is a DEX where order matching is done entirely off-chain. Settlement and custody remains on-chain.

By matching orders off-chain, the hybrid DEX is able to maintain performance equivalent to that of a CEX.

WHY USE A HYBRID DEX?

A hybrid DEX is the best choice for traders that want to trade often, while maintaining custody of their own funds.

A hybrid DEX provides CEX-like experience (fast matching, high throughput, low fees), while remaining non-custodial. A hybrid DEX also maintains an off-chain orderbook, which aids in price discovery, and provides increased flexibility and granularity, relative to AMM-based exchanges. Only the most vital parts (custody and settlement) are done on-chain.

IS EVERSTRIKE A HYBRID DEX?

Yes. Everstrike matches all orders off-chain. To synchronize off-chain and on-chain state, a state channel system is used. The state channel constitutes a rolling agreement between the user of Everstrike and the operator of Everstrike, on the balances and positions of the user. It enables Trustless Withdrawals - a 100% permissionless and 100% censorship-resistant withdrawal type.

The handling of orders off-chain enables Everstrike to process a very high order throughput, while remaining entirely non-custodial.

WHAT IS EVERSTRIKE USD?

Everstrike USD is the internal currency of Everstrike. Users can mint Everstrike USD by staking USDT in an Everstrike-approved smart contract. To unstake, the user is required to redeem the minted Everstrike USD. The redemption is subject to a waiting period of 24 hours. Once the waiting period is over, the user's USDT will unstake, and can freely be moved between the user's wallets.

WHY DO I NEED TO PROVIDE AN EMAIL WHEN SIGNING UP?

Your email acts as your primary account identifier (in addition to your connected wallet address). It is used when interacting with the Everstrike API. It is currently not possible to use the Everstrike frontend without an email address.