Option is the most traded derivative instruments. Centralized option markets exist for a long time. Crypto options like Dydx also exist, but works only for Ethereum.
What it does
Create and trade options in the following manner:
- no counter-party risk.
Classical option types are supported:
These style of options are supported:
More importantly, we have an interesting approach to do uncovered (naked) options. Crypto options like Dydx only does covered option, where the underlying asset are owned by the option writers. Here, we will present an interesting approach that allow naked options to exist in decentralized manner.
Inter-chain token transfer
How I built it
Built using Tendermint with Lotionjs framework. Tendermint takes care of consensus protocol and p2p networking. We can define the transaction format on our own. We build option contracts that are enforced by every node. We also build an option market for people to trade options.
Challenges I ran into
I am using Lotionjs, IBC is not yet supported on Lotionjs. I have to learn IBC and try to do something similar to IBC protocol on Lotionjs on my own.
Accomplishments that I'm proud of
What I learned
What's next for Decentralized Option
More IBC stuff.