What?
What is The Risk Protocol and what is its utility...
Last updated
What is The Risk Protocol and what is its utility...
Last updated
The Risk Protocol (“TRP”) is a novel DeFi primitive that tokenizes risk. Using synthetic options, we provide cutting-edge risk solutions that abstract away the complexity of the underlying derivatives. These risk solutions are designed to have utility for users across the risk spectrum, including both investors and speculators.
Our initial focus is on "harnessing" volatility. While volatility products are a $4 trillion + dollar sector in TradFi, the sector is in its infancy in crypto. Undisputedly though, volatility is several times higher in crypto relative to TradFi. It’s both a thornier challenge and a significant economic opportunity if it can be harnessed. The natural evolution of financial markets suggests that volatility is a $250 bil + opportunity in crypto.
We are harnessing volatility using SMART Tokens, a bold new DeFi primitive, geared to harness crypto volatility by offering different risk flavors of an underlying cryptocurrency, with no margin calls and no early liquidations. The rewards for picking the right SMART token in a particular market cycle can be pretty astounding.