Ribbon Finance has recently launched a new feature on its decentralized exchange, Aevo, called the Aevo OTC marketplace. This marketplace allows users to trade altcoin options on-chain, expanding the trading possibilities beyond Bitcoin and Ethereum. The altcoin options available for trading will be rotated every month based on their popularity in the market.
Traders on Aevo OTC can customize their options by selecting the strike price and duration, and they can receive real-time quotes from top crypto market makers such as Galaxy, GSR, and OrBit Market.
The margin system implemented by Aevo OTC ensures security by locking all margins on-chain. Liquidation providers are required to provide a 30% initial margin in USDC, while market makers must deposit additional margin based on the mark-to-market value of the trades.
To participate in the Aevo OTC marketplace, traders need to have a minimum volume of approximately $10,000. The maximum limits for options trading are set at $2.5 million for Ethereum (ETH) and Bitcoin (BTC) options, while other altcoin options have a maximum limit of $1 million.
These developments open up new opportunities for crypto enthusiasts who are interested in trading options on altcoins, offering them access to a wide range of altcoin options and the ability to customize their trades according to their preferences.
Also Read: Galaxy Digital Pioneers Blockchain OTC Options Trading