Opeth Finance is live!
Opeth is smart collateral for DeFi powered by Options
Why Opeth?
We have long awaited Opeth — A synthetic instrument fusing options with the underlying asset. Opeth harnesses the power of on-chain options and enables users to:
- Leveraged ETH Upside + Yield Farming — Smart assets having a price floor allow stablecoin loans in a capital-efficient manner
- Reduce Downside Protection Cost
With today’s launch, we address the former issue of the creation of smart assets and expect Opeth to power an increasing number of use cases.
Case in Point: Smart Stablecoin loans without risk of liquidations and better capital efficiency.
Holders of Opeth can create option-backed hedging strategies while also availing liquidation-free loans against Opeth. With sufficient on-chain liquidity in options’ markets, Opeth will help realize these use cases.
Security
Adhering to our high benchmark for security standards — we launch Opeth after completing a couple of audits, refer to the audit log here.
The auditors were:
- PeckShield
- Monoceros Alpha
How to mint Opeth
1. Visit the app:
2. Connect Metamask
When you access the Opeth app, on the top right there is a “Connect” button to connect your wallet. Once connected the app loads your wallet balance and you can proceed to the minting process.
3. Choose the asset and strike price
Initially, Opeth supports — ETH & WBTC. Select the strike price for the asset you are looking to mint Opeth . We will choose the WETH — 2240 Put — 25th June for this guide. Currently, you can use ETH & WBTC to mint the respective variants.
4. Mint Opeth
Once selected the minting tab gets populated. After entering the amount of opeth you want to mint click on “Mint Opeth”.
Once done the App will have a text top up — “ Mint transaction has been initiated”
Upon the transaction getting mined you will get the ” Successfully Minted Opeth” alert.
Congratulations you have now successfully minted Opeth 🎉🎉
Nomenclature
The ERC 20 you obtain will be named as follows— Opeth-oWETHUSDC-25JUN21–2240P.
This can be broken down as —
Opeth — Primary Asset Name
0WETHUSDC — The pair for which the option is obtained
25JUN21- The Expiry Date
2240P- Strike Price and P— Put Option.
With more strike prices and assets getting added gradually there will exist a number of Opeth ERC20's.
Borrow
The upcoming utility will allow you to borrow against your Opeth using the Borrow tab on the app.
Building on Opyn
Opyn has long been the team synonymous with options on Ethereum.
Opeth on launch will be powered by Opyn’s otokens. The Opyn community has been extremely supportive and is highly anticipating the release of Opeth. We expect Opeth to bring additional volume to Opyn given now users can participate in DeFi using option-backed legos.
We would love to work with more partners to enable novel Options based use cases. Opeth might support/pool in liquidity from other Option protocols in the future.
