DeFi asset administration platform HyperDex is betting on vital market demand for the concept of easy and easy-to-understand, decentralized crypto futures buying and selling. To that finish, it goals to make futures extra user-friendly by marrying the optionality of derivatives with the simplicity of sports activities betting. 

HyperDex is the pioneer of a brand new sort of simplified cryptocurrency buying and selling mannequin it has termed “crypto race trading.” The thought is to make it simple for much less technical customers to invest on the longer term value of an asset and know exactly how a lot revenue they stand to achieve in the event that they guess accurately. 

Crypto race buying and selling is only one element of HyperDex’s DeFi platform, enabling low-risk fixed-income investments and algo-trading investments. These are automated buying and selling protocols primarily based on a pure statistical arbitrage algorithm. 

All three of HyperDex’s merchandise are designed to be easy to grasp. Nonetheless, the most important potential rewards by far are available from crypto race buying and selling, which is akin to current however extra complicated cryptocurrency value prediction markets out there on platforms akin to Binance. 

What Is Crypto Race Buying and selling?

“Race buying and selling is a crypto by-product, besides that it’s way more user-friendly as a result of it’s a hybrid of sports activities betting and futures contracts,” mentioned XXXXXX. 

For brand spanking new buyers, futures contracts look tempting, however they are often difficult to grasp and carry much more threat. New buyers won’t be delay, although, so it’s that phase of curious merchants who need to make extra complicated bets however are uncertain how to take action that HyperDex hopes to enchantment to. 

“Futures are laborious for brand spanking new merchants as a result of you must set the right leverage, cease loss, goal, and so forth,” XXXXX mentioned. “Most new merchants over-leverage as a result of they assume they will achieve fast earnings, and 80% of the time they’re worn out.” 

To position a wager on HyperDex’s crypto race buying and selling market, buyers choose certainly one of a number of out there “Race Buying and selling Cubes.” Every dice permits customers to invest on the longer term costs of choose crypto belongings. The investor predicts the longer term value; then, the HyperDex Race Dice will robotically calculate the mandatory info for the consumer’s stops, lengthy or quick place, and the right leverage in accordance with the consumer’s threat stage. 

With every HyperDex Race Buying and selling Dice, the costs are all predetermined. So if a consumer desires to wager on the worth of Ethereum and it’s at present buying and selling at $3,000, they will choose a dice with a $4,000 goal and a $2,000 cease or liquidity value. The leverage may even be predetermined, so the buyers will know that if ETH goes to $4,000 earlier than the dice expires, they stand to make a 25% return on their unique funding. 

“This is the reason it’s much like sports activities betting. When you wager Man United to win at odds of 1.25, you realize you’ll win 25% of your stake,” XXX mentioned. “If the worth of ETH reaches $4,000, you additionally make 25%, but when it drops to $2,000, you lose the whole lot.” 

Traders may prolong their crypto race buying and selling bets by investing in a “HyperCube” to earn further rewards. To create a HyperCube, buyers should deposit HyperDex’s native HYP token along with the asset they’re staking, for which they’ll generate a further return in HYP tokens that’s equal to the return on their unique funding. In different phrases, they’ll have the ability to generate “parallel” revenues. 

HyperDex insists on these advantages in two methods: first by boosting an buyers’ complete return and secondly by growing demand for HYP tokens. By encouraging customers to stake with HYP, HyperDex believes it can result in larger token costs and a lift within the worth of no matter further returns its buyers win. 

With HyperDex Crypto Race Buying and selling, new customers get not solely a straightforward entry into the world of crypto derivatives and futures but in addition the prospect of some very enticing returns that can solely develop in the event that they select to increase their wager with a HyperCube. Furthermore, these rewards will develop greater the extra standard the platform turns into. It means HyperDex crypto race buying and selling may even be a viable possibility for extra skilled merchants, too, probably as a hedge or as a part of an choices buying and selling technique. 

That mentioned, HyperDex guarantees crypto race buying and selling will at all times retain its simplicity. 

“The thought is to make it very simple to set futures’ trades which are very simple to grasp, particularly for the Asian market that enjoys quick, small bets,” XXXX mentioned.