Attracts professional traders and generates high trading volumes by allowing for leveraged positions on shielded assets while protecting traders’ strategies.
FURPS+
Ai generated
This section was generated by an LLM and has not yet been human-reviewed.
Functionality
- Support perpetual futures (no expiry contracts)
- Enable options trading (calls and puts)
- Provide prediction markets for binary outcomes
- Support interest rate swaps
- Enable synthetic asset exposure
- Implement cross-margin (multiple collateral types)
- Provide stop-loss/take-profit automation
- Support portfolio margin (risk-based across positions)
- Include insurance fund for bad debt protection
+ (Privacy, Anonymity, Censorship-Resistance)
- Hide collateral amount and type
- Conceal position size, direction (long/short), and leverage
- Private liquidations without revealing position details
- Hidden PnL (profit and loss)
- Prevent front-running and strategy extraction
Demand Validation
Potential Users: Professional traders, speculators, hedgers, market makers
Use Cases:
- Leveraged speculation on asset price movements
- Hedging existing spot positions
- Generating yield through market making
- Trading synthetic exposure to external assets
- Private prediction market participation
Possible Implementation
- Private AMM-based (GMX-style): Traders trade against shielded liquidity pool with oracle-based pricing
- Private order book (dYdX-style): Off-chain order matching with on-chain settlement, encrypted orders with ZK matching proofs
- Peer-to-peer (P2P): Direct private contracts between counterparties with oracle-based settlement
Technical Validation
Risks & Challenges:
- Private price oracles: Getting accurate price feeds without exposing position details
- Encrypted liquidations: Calculating health factors on encrypted positions
- Private order matching: Executing trades without revealing order book
- Funding rate calculations: Computing periodic funding on hidden open interest
- MEV prevention: Protecting against sandwich attacks and liquidation sniping