We use cookies to offer a better browsing experience, analyze site traffic, personalize content, and serve targeted advertisements. By clicking accept, you consent to our privacy policy & use of cookies. (Privacy Policy)

DeFi Options Exchange Premia Blue Launches on Arbitrum

Michael Abadha Blockchain market writer
    Summary:
  • Premia Blue is the only DeFi options exchange that offers users composability across all products and trading strategies.

Premia Blue, the DeFi options exchange, has launched on Arbitrum. The first and only options platform in DeFi to offer composability across products and trading methods plans to expand to other chains in the future. The Premia Blue platform, formerly known as Premia Finance, provides a full range of services, including the Premia Blue decentralised application (dApp) and the Premia Academy library of learning materials.

The Premia Blue strategy

Premia Blue’s advanced capabilities, intuitive user interface (UI), and simple onboarding make it appealing to traders and liquidity providers of all experience levels.  LPs can use any ERC-20 token to launch a pool, and they can set their own risk tolerance and access requirements.

With Premia Blue, traders and liquidity providers of all skill levels can take advantage of one of DeFi’s highest levels of capital efficiency, user functionality, and composability. Crypto options in the European manner are now available to traders, with market-driven pricing and two trading modes, Automatic Market Maker and Orderbook.

Premia Blue’s innovative Smart Range Orders and Concentrated Liquidity help liquidity providers make the most of their resources, while Strategy Vaults can be activated with a single click to provide the possibility of passive returns.

The platform’s extensive feature set, including the forthcoming margin, spreads, and loan products, enables users to optimise their strategies and generate potential income in a straightforward manner, regardless of whether they are traders, market-makers, or liquidity providers.

How Premia Blue is revolutionising Options Protocols

DeFi options protocols, such as Premia V2, have historically been built in a vault-like fashion. In such systems, parties can either act as a source of liquidity or purchase options. However, LPs must take on risk for all strikes and expiration dates, and traders must contend with limited or dispersed liquidity and ineffective pricing models.

In contrast, Premia Blue is the first composable and completely onchain crypto options exchange that combines an order book, algorithmic strategies, and an AMM. To ensure that users’ orders are not being filtered or front-run, Arbitrum Nova makes the onchain order book available to them at no cost.

In addition to preserving the beneficial aspects of the pool-to-peer protocol architecture with Strategy Vaults, Blue provides several additional sources of liquidity. These include an RFQ-network, Concentrated Liquidity Pools, and the potential to enlarge passive management strategies through Vaults.

These elements are blended using a decentralised limit order book. In addition, as prices converge towards a market-driven equilibrium, traders can compare bids from multiple suppliers of the same inventory.

Premia Blue is running a limited time promotion wherein users can get 50% of all commissions back on referrals made in the first month.