BracketX is a project focused on providing derivative products to DeFi (decentralized finance) users, enabling them to profit even when prices are sideways. So, what is BracketX? Let’s find out in the article below.
What is BracketX?
BracketX, also known as Bracket Protocol, is a DeFi (decentralized finance) derivatives platform that allows users to easily buy and hold leveraged positions. It helps simplify traditional options products to better suit the needs of Web3 users.
BracketX aims to develop a suite of products optimized for DeFi that can remain stable in the face of frequent price changes and provide users with the following advantages:
Not controlled by CEX: Users do not need to trust any centralized exchange brokers as their assets and positions are stored directly on BracketX’s platform and collateralized 1:1.
Ease of Use: BracketX simplifies derivatives and options strategies into simple and intuitive products suitable for users of all levels.
Sustainable Profit Opportunities: Users can earn continuous returns from their positions on BracketX.
BracketX Products
Bracket
Bracket is a unique product that allows buyers to take advantage of price fluctuations of an asset within a specific price range. By using Bracket, buyers can gain leveraged benefits without the need for a margin account or other complex requirements. Users can go long or short on an asset class and will profit if the asset price remains within a certain price range for a specified period of time. If the asset price breaks through the set price, the position will be automatically closed.
Channel
Channels allow users to profit by keeping the spot price of an asset within a fixed price range until the price breaks through the channel or the channel expires. Users will receive rewards based on the length of the price range that the spot price of the asset is in during the duration of the channel.
Example: If the channel lasts for 3 days and the price breaks out of the channel after 2 days, the user will receive 67% of the total maximum payout.
Epoch
Epochs are the periodic version of Channels, with some key differences. Like Channels, Epochs allow users to profit based on how long the spot price stays within a fixed price range, until the price crosses that limit either up or down. However, each Epoch offers two position options for users to choose from: "Stay in" means believing that the price will continue to stay within the price range, while "Break out" means believing that the price will break out of this range. Before it starts, each Epoch has a waiting period for everyone to choose a position.
BracketX NFTs
Bracket generates ERC-721 NFTs that represent the user's positions in Bracket, Channel, and Epoch. Each NFT represents only one position, so it cannot be transferred or exchanged until the contract expires or the user continues to profit from their position. There are three types of NFTs:
BXNFT: Represents a position in Bracket, used to check the user's ownership of the position, and can be traded peer-to-peer after the position expires.
CNFT: Represents the position in the channel, used to check the user's ownership of the position, and can be traded peer-to-peer after the position expires.
ENFT: Represents the positions in the era, used to check the user's ownership of the positions, and can be traded peer-to-peer after the positions expire.
Summarize:
The above is all the information about the BracketX project, which is a project that provides derivatives and leveraged products for DeFi users. I hope this article can help readers get useful information in the research and investment process. I wish you a smooth investment!
