$COMP market is live on Opium Exchange

Andrey Belyakov
Jun 10 · 3 min read

Opium Exchange introduced ZEPOs: it is basically a future for non-listed tokens. They are used historically to create pre-markets, and now in DeFi!

Image for post
Image for post

Opium Exchange introduced ZEPO — formally, it is a call option with zero strike price, to say simple, this instrument replicates an asset. $COMP market is now live on Opium Exchange, place an order >>

You don’t need to think complex: buy or sell ZEPO as you would do with the token itself.

How to trade ZEPOs for $COMP

  1. You can place your buy/sell order with the price limit.
  2. Your order will proceed to the matching layer — order books that run on meta-transactions. You may specify an expiry time of your order after which it can not be matched and settled on the blockchain.
  3. You can always cancel your order if it is not matched.
  4. Once settled, your derivative positions are transferable/tradable via ERC-721o. You can keep it in a cold wallet, trade on secondary market or send it to someone.
Image for post
Image for post
Pre trading market

You can find Opium Exchange manual here or read about Opium Protocol here.

Important information, keep in mind:

  • Because there is no secondary market, yet it is challenging to evaluate the adequate amount of initial margin. We will carefully monitor the feedback of users and will list contracts with different margin requirements if needed.
  • Every current contract covers 1 COMP token. If you trade 100 ZEPO contracts, you are exposed to 100 COMP at maturity. If you sell ten contracts an initial margin of 10*2=200 DAI will be locked from your account.
  • If there is no market at the maturity date, the oracle price will report 15 DAI (“expected price” in the community). So keep this in mind, it can be a risk or an opportunity to make a bet on the absence of Uniswap market at maturity.
  • Opium.Exchange is a software platform that provides access to open-source Opium Protocol. Always check your local regulations.

Understanding ZEPO

You don’t need to think complex: buy or sell ZEPO as you would do with the token itself.

Image for post
Image for post
ZEPO vs asset

The underlying of this option is typically a non-marketable asset or an asset with no deep secondary market. Historically, it is popular in countries where there may be obstacles to the transfer of securities, especially stock.

The holder of the option will have full participation in the underlying price in an indirect way. The purchaser of the option will definitely exercise it, so it is the same as owning the underlying asset. The seller has full offsetting participation in the stock price, that is equal to a short position.

ZEPO is a call option with the strike price set at zero. The coolest feature is that it replicates the price of underlying asset.

About Opium


Feel free to drop us any questions or your feedback in Opium Telegram group. Chat us also if you need help with building derivatives on top of Opium Protocol.

Stay tuned and follow Opium on Twitter

Opium Team

Opium Protocol is the universal protocol to create, settle…

Andrey Belyakov

Written by

Opium Protocol, The Art Exchange

Opium Team

Opium Protocol is the universal protocol to create, settle and trade virtually all derivatives in a trustless way.

Andrey Belyakov

Written by

Opium Protocol, The Art Exchange

Opium Team

Opium Protocol is the universal protocol to create, settle and trade virtually all derivatives in a trustless way.

Welcome to a place where words matter. On Medium, smart voices and original ideas take center stage - with no ads in sight. Watch

Follow all the topics you care about, and we’ll deliver the best stories for you to your homepage and inbox. Explore

Get unlimited access to the best stories on Medium — and support writers while you’re at it. Just $5/month. Upgrade

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store