Factory
The factory maintains a list of registered parameters for each underlying asset on which instruments can be created to facilitate validation at instrument creation.
Underlying Parameters
| Parameter | Description |
|---|---|
| asset address | Blockchain address of the underlying ERC20 asset. |
| expiry epoch | The earliest expiry time that can be set. |
| expiry interval | The expiry time must be a whole number of expiry intervals after the expiry epoch. |
| price epoch | The smallest strike price that can be set. |
| price interval | The strike price must be a whole number of price intervals greater than the price epoch. |
| risk intervals | A list of intervals allowed between the strike and threshold prices. For calls, threshold price = strike + risk interval For puts, threshold price = strike - risk interval |
(See implementation details here.)
Examples
Expiry Time
| Parameter | Value |
|---|---|
| expiry epoch | 2023 January 1st 0800 UTC+0 |
| expiry interval | 1 day |
Allowed Expiry Times:
2023 January 2nd 0800 UTC+0 | 2023 March 30th 0800 UTC+0 | 2023 July 7th 0800 UTC+0
Prohibited Expiry Times:
2023 January 2nd 1200 UTC+0 | 2023 March 30th 2359 UTC+0 | 2023 July 7th 0000 UTC+0
Instruments whose expiry time has passed cannot be created.
Strike
| Parameter | Value |
|---|---|
| price epoch | $0 |
| price interval | $1,000 |
Allowed Strike Prices:
$1,000 | $5,000 | $30,000
Prohibited Strike Prices:
$15 | $5,200 | $30,990
Risk Intervals
| Parameter | Value |
|---|---|
| risk intervals | $2,000, $5,000 and $12,000 |
Note: Only 1 risk interval must be selected when specifying an instrument.
Strike: $30,000
For calls: Instruments with threshold prices at $32,000, $35,000 and $42,000 may be created.
For puts: Instruments with threshold prices at $28,000, $25,000 and $18,000 may be created.
Puts that have threshold prices less than 0 cannot be created.
For calls, if the current reference price of the asset is above the threshold price, the instrument cannot be created.
For puts, if the current reference price of the asset is below the threshold price, the instrument cannot be created.