IMPORTANT DISCLAIMER: Hegic v888 is in beta. Use it at your own risk. You can lose 100% of your funds provided to the Hegic liquidity pools. Hacks, security bugs and economic abuses can happen because of an experimental nature of beta version of the protocol. You won’t be compensated in case of any losses related to the Hegic protocol. All parts of the protocol (options buying/exercising, providing/withdrawing liquidity to/from the pools, liquidity mining & utilization rewards distribution/claiming, staking and others) are operational and can be accessed at https://www.hegic.co/ as well as directly on-chain. If you do not agree with any part of this disclaimer please consider leaving this website and never use Hegic protocol in any ways.
- ETH call and put options are live
- WBTC call and put options are live
- ETH bidirectional pool is live
- WBTC bidirectional pool is live
- Bootstrapping liquidity in the ETH pool:
+$500K will be added every 2 weeks during 6 months
Schedule for adding ETH for bootstrapping the ETH pool:
19/10/2020: +$500K in ETH
02/11/2020: +$500K in ETH
16/11/2020: +$500K in ETH
30/11/2020: +$500K in ETH
14/12/2020: +$500K in ETH
28/12/2020: +$500K in ETH
11/01/2021: +$500K in ETH
25/01/2021: +$500K in ETH
08/02/2021: +$500K in ETH
22/02/2021: +$500K in ETH
08/03/2021: +$500K in ETH
22/03/2021: +$500K in ETH
- Bootstrapping liquidity in the WBTC pool:
+$500K will be added every 2 weeks during 6 months
Schedule for adding WBTC for bootstrapping the WBTC pool:
19/10/2020: +$500K in WBTC
02/11/2020: +$500K in WBTC
16/11/2020: +$500K in WBTC
30/11/2020: +$500K in WBTC
14/12/2020: +$500K in WBTC
28/12/2020: +$500K in WBTC
11/01/2021: +$500K in WBTC
25/01/2021: +$500K in WBTC
08/02/2021: +$500K in WBTC
22/02/2021: +$500K in WBTC
08/03/2021: +$500K in WBTC
22/03/2021: +$500K in WBTC
- Liquidity mining rewards distribution Phase I — no-lockups — is live
LOCK-UPS FOR LIQUIDITY MINING REWARDS: CANCELED.
$100M VOLUME REWARDS UNLOCK MILESTONE: CANCELED.
REWARDS IN HEGIC ARE TRANSFERRABLE WITH NO LOCK-UPS.
Updated on 11/10/2020: In connection with HEGIC rewards distribution mechanics with no lock-ups & after analyzing feedback received from Hegicians a decision to return a 6-months lock-up for all of the HEGIC rewards has been made. 6M lock-ups of rewards will be added.
- Phase I Liquidity utilization rewards — no-lockups — is live
LOCK-UPS FOR LIQUIDITY UTILIZATION REWARDS: CANCELED.
$100M VOLUME REWARDS UNLOCK MILESTONE: CANCELED.
REWARDS IN HEGIC ARE TRANSFERRABLE WITH NO LOCK-UPS.
Updated on 11/10/2020: In connection with HEGIC rewards distribution mechanics with no lock-ups & after analyzing feedback received from Hegicians a decision to return a 6-months lock-up for all of the HEGIC rewards has been made. 6M lock-ups of rewards will be added.
- Staking with rewards in ETH is live
- Staking with rewards in WBTC is live
- Bonding curve contract is live
- Vesting contracts are live
If you believe that ETH will pump hard, then consider acquiring ETH call options. You can think of trading ETH call options as of opening an ETH/USD long with a leverage BUT without feeling a fear of being liquidated or having a margin call. Your maximum loss can’t be higher that the amount that you pay for options. Here’s what can happen if you are holding ETH call options and the price of ETH rises as you have expected:
If you believe that the price of ETH will tank -10%, -30% or even lower, then consider acquiring ETH put options to protect the value of ETH. Holding an ETH put option is an on-chain guarantee that you will be able to sell your ETH at a fixed price during a certain period of time. This might protect your holdings from losing its value while price is falls and everyone else on the market is being REKT.
There are more than $1 billion Wrapped Bitcoins (WBTC) are now sitting on Ethereum. It’s time to utilize WBTC and show some non-custodial on-chain magic to those Bitcoiners who don’t-trust-verify / not-your-keys-not-your-BTC but still using centralized custodial exchanges to trade BTC options.
You can do so many interesting things with WBTC options now, on Ethereum. Non-custodial, on-chain, WBTC options with any strike price and flexible periods of holding. Exercise ITM (in-the-money) options at any given moment (American-style).
The same as with ETH, you can consider acquiring WBTC call options if you want to win big but don’t want to touch dangerous BTC/USD swaps and futures with x10 — x100 leverage with a risk of margin calls and liquidations.
If you want to protect your orange coins from downside, you don’t need to do anything else but consider acquiring WBTC put options on Hegic. Having BTC on a cold hardware wallet and need to protect its USD value? Buy WBTC put options and have the value of these Bitcoins protected.
New Hegic bidirectional liquidity pool model might be one of the greatest experiments in the DeFi options and derivatives space in this year.
ETH allocated in this pool is utilized for simultaneously selling both ETH call and ETH put options in an automated way. Previously (in Hegic v1.1) there were two separate pools: DAI pool for selling ETH put options and ETH pool for selling ETH call options. The tricky thing is that no one knows the directions of price in coming weeks and months. If you have liquidity provided just in one of the pools that is used for selling call OR put options you only earn premiums when the price rises OR falls.
In the new v888 bidirectional pools you are automatically earning premiums in ETH on selling both call and put options at the same time. If the price of ETH rises, the premiums received from selling put options could cover the potential losses on in-the-money call options. If the price of ETH falls, the premiums from selling call options could cover the potential losses on in-the-money put options. Safer and better.
WBTC bidirectional liquidity pool with WBTC allocated on this pool’s contract is utilized for simultaneously selling both WBTC call and put options in an automated way. This pool might become a new way for BTC holders to earn yield in WBTC. The first step is to convert BTC into WBTC or to buy WBTC on one of the exchanges or DEXes. The second step is providing WBTC to the pool on Hegic. Liquidity will be utilized pro-rata in each WBTC call or put option acquired through the Hegic protocol. Set-and-forget and earn WBTC.
The Hegic protocol generates settlement fees paid each time an option contract is bought. Users are able to acquire HEGIC tokens and activate a staking lot that gives its holder a right to receive staking rewards. 100% of settlement fees in ETH generated by the protocol are distributed among the active staking lots holders. One active staking lot can only be used to receive staking rewards in ETH or WBTC, not both at the same time.
Settlement fees (currently 1% of each option’s size) are paid in ETH and WBTC by options buyers and accumulated on the HEGIC staking contracts.
To start earning settlement fees, one should acquire HEGIC tokens and lock them on the staking contract. The required lock-up period is one day. During this period a token holder won’t be able to withdraw HEGIC tokens from the staking contract. After this period, a token holder can initiate the withdrawal.
How to earn staking rewards in ETH:
- Accumulate 888,000 HEGIC tokens
- Acquire an ETH staking lot for 888,000 HEGIC
- 888,000 HEGIC will be locked for one day
- Receive a share of staking rewards each time ETH options are bought
- Claim staking rewards in ETH at any moment (no deadlines)
- If you want to stop receiving staking rewards in ETH, swap your staking lot back into 888,000 HEGIC after the one day lock-up is over
If you believe that the WBTC options volumes on Hegic will be big enough, consider acquiring a staking lot for receiving staking rewards in WBTC. For example, if the total cumulative WBTC options volume will reach $1 billion milestone in coming months and years, this will lead to $10 millions of WBTC generated in settlement fees that will be distributed among the active WBTC staking lots holders. If there will be 100 active WBTC staking lots holders, each of them will receive $100,000 in WBTC staking rewards.
How to earn staking rewards in WBTC:
- Accumulate 888,000 HEGIC tokens
- Acquire a WBTC staking lot for 888,000 HEGIC
- 888,000 HEGIC will be locked for one day
- Receive a share of staking rewards each time WBTC options are bought
- Claim staking rewards in WBTC at any moment (no deadlines)
- If you want to stop receiving staking rewards in WBTC, swap your staking lot back into 888,000 HEGIC after the one day lock-up is over
Live now!
Phase I: 12 months (10/10/2020 — 10/10/2021)
481,800,000 HEGIC: Phase I Liquidity Mining Rewards
~$66,000,000 in rewards allocated for Phase I
~$0.137 — Current price of HEGIC
1,320,000 HEGIC/day distributed pro rata among liquidity providers
~$180,800 in daily rewards for liquidity providers
~$90,400 in daily rewards for WBTC pool liquidity providers
~$90,400 in daily rewards for ETH pool liquidity providers
How to start receiving liquidity mining rewards in HEGIC:
- Provide liquidity to one of the pools on Hegic
- Receive write tokens (LP tokens)
- Lock write tokens and start receiving rewards in HEGIC every block
- Claim rewards in HEGIC tokens and receive HEGIC to your address
- If you want to stop receiving rewards in HEGIC tokens, unlock your tokens and receive them to your address. Note that after unlocking write tokens your lock-up period will be restarted and you will have to wait for 14 more days to be able to withdraw liquidity from the pool.
Live now!
Phase I: 12 months (10/10/2020— 10/10/2021)
120,450,000 HEGIC: Phase I Liquidity Utilization Rewards
~$16,500,000 in rewards allocated for Phase I
~$0.137 — Current price of HEGIC
330,000 HEGIC/day distributed pro rata among options holders
~$45,200 in daily rewards for liquidity providers
~$22,600 in daily rewards for WBTC pool liquidity providers
~$22,600 in daily rewards for ETH pool liquidity providers
How to start receiving liquidity utilization rewards in HEGIC:
- Buy options on Hegic (ETH calls or puts, WBTC calls or puts)
- Claim rewards for each option (no deadlines for claiming)
- Receive rewards in HEGIC tokens to your address
Each time HEGIC tokens are acquired using the bonding curve contract, the ETH-HEGIC swap transaction increases the price of HEGIC token for a fixed value. This value is called a bonding curve multiplier or a slope. The multiplier is hardcoded into the HEGIC bonding curve contract and cannot be changed in the future. The multiplier is 0.00000000001 ETH.
If a token holder wants to swap her HEGIC token for ETH using the bonding curve contract, she will pay a 10% swap fee on this transaction. 5% of this fee will be distributed among active HEGIC staking lots and 5% will be allocated in the Hegic Development Fund.
100,000,000 HEGIC of 753,001,000 in total are allocated on the bonding curve contract. Each time 90%+ of tokens will be acquired through the bonding curve contract +100,000,000 more HEGIC tokens will be added to the bonding curve contract and available for acquiring.
As token holders buy and sell HEGIC tokens using the bonding curve contract, the price increases or decreases. The contract itself is used as a price oracle.
Early contributors are holding 602,402,000 HEGIC and have a linear 2 years lock-up. 825,208 HEGIC tokens will be unlocked on a daily basis and claimable by them.
Hegic Devepolment Fund is holding 301,200,988 HEGIC which has a linear 4 years lock-up. 206,302 HEGIC tokens will be unlocked on a daily basis and claimable by HDF.
Test vesting contracts have been deployed for one month with 1/24 of early contributors’ tokens allocated on them as well as 1/48 of HDF’s tokens.
After one month of testing vesting contracts the remaining 23/24 of early contributors’ tokens and 47/48 of HDF’s tokens will be allocated and locked.
🌖 Play now: https://www.hegic.co/
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Inspect code: https://github.com/hegic
IMPORTANT DISCLAIMER: Hegic v888 is in beta. Use it at your own risk. You can lose 100% of your funds provided to the Hegic liquidity pools. Hacks, security bugs and economic abuses can happen because of an experimental nature of beta version of the protocol. You won’t be compensated in case of any losses related to the Hegic protocol. All parts of the protocol (options buying/exercising, providing/withdrawing liquidity to/from the pools, liquidity mining & utilization rewards distribution/claiming, staking and others) are operational and can be accessed at https://www.hegic.co/ as well as directly on-chain. If you do not agree with any part of this disclaimer please consider leaving this website and never use Hegic protocol in any ways.
