Typus Finance — Decentralized Options Dapp on SUI
a great project on #SUI that has NO TOKEN yet but a great product a short article on @TypusFinance
this will strictly review the product they are offering and how you can use it to make money
- what are covered calls
- how you can profit from it with minimal risk
covered calls;
- deposit price is the price you buy the option
- options expires at a certain time which is listed, that’s your expiry date
- if the price is below the strike price stated on the call, you earn a premium
- otherwise the vault incurs a small loss
i will talk specifically about daily #SUI covered call
- deposit $SUI
- if price doesn’t get to strike price (shown in blue) by the time contract expires — you earn a premium 0.5–2% daily
- the APY shown is for annual return
- if not withdrawn, it goes to next day
as long as you keep staked in the vault and as long as you $SUI has less +10% days, you will end up in profit in the long term
ofc the auction side (ppl who bet on price going up) that i didn’t mention plays a role in that but i just think it would be too complicated for most
in case price expires above strike, the other side of the trade gets to buy a portion of your coins at the strike price mentioned
but you receive USDC in return and you can always use the USDC to buy back the tokens that ended up being sold
so there is no total loss
overall, i think this a safe way to earn income on your $SUI with quite low risk and without risking losing your entire stake
it requires minimal market monitoring and if you think the market turned bullish, you can always withdraw or flip bias
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