OptiFi Market Maker (OMM)
First-ever on-chain Options Market Maker with delta-neutral strategy
Last updated
First-ever on-chain Options Market Maker with delta-neutral strategy
Last updated
OptiFi platform introduces first of its kind OptiFi Market Maker (OMM) for derivatives, including perps and options with delta-neutral strategy. Our inspiration for this module can partially be attributed to early AMMs in crypto space.
OMM is designed to provide liquidity across all financial instruments traded in OptiFi exchange in a consistent manner to ensure continuous liquidity within the exchange at all times.
A short overview of OMM:
Each OMM vault supports a single underlying asset such as BTCUSDC or ETHUSDC
OMM is designed to generate profits and yields to its depositors (Liquidity Providers, LPs)
OMM accepts deposits from all OptiFi users to support market making across all instruments on the underlying asset
Systemic risk management is built in to maintain safe risk limits within OMM and utilizes delta-hedging approach for options and futures
Liquidity levels and orderbook pricing is adjusted to take into account the natural flows to the market and unhedged positions