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Power Perpetuals - Paradigm

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Introduction This paper introduces a new type of derivative, the power perpetual. If the price of ETH doubles, the ETH^2 power perp 4Xs, the ETH^3 power perp 8Xs, and the ETH^5 power

Power Perpetuals 08.17.2021 By Dan Robinson , Dave White , Zubin Koticha , Andrew Leone , Alexis Gauba , Aparna Krishnan [L] Listen [S] Share Link , Markdown , X , LinkedIn Introduction This paper introduces a new type of derivative, the power perpetual . If the price of ETH doubles, the ETH^2 power perp 4Xs, the ETH^3 power perp 8Xs, and the ETH^5 power perp 32Xs. Of course, this asymmetric upside doesn't come for free. Those who are long a power perpetual must regularly pay a premium yield to those who are short it. Power perpetuals provide global options-like exposure without the need for e

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