Channel
The best way to make leveraged returns in sideways markets
Use channels to make money in sideways markets
Make money every second the asset price remains in the channel
Leveraged returns based on time in the range
Channels start in-the-money and accrue value over time
Buy a channel if you think the asset price can stay in the range long enough to profit up to the max amount. The channel will pay out based on the fraction of time in the channel until first breach or term expiry
Fund channels, collect premiums
Fund channels to collect premiums
Funders can write offers for available channels. As a funder, select the width of the channel. Meet, beat or enter a custom value. USDC will be used as collateral and is only locked when the channel is purchased
Let's check out an example
Below we illustrate purchasing $250 of a 3-day 6x ETH channel when ETH's spot price is $1,207.99
The spot price of ETH must stay between the low price, $1,110.85 and the high price $1,304.04 for 3 days in order to make the full 6x. The channel will start accruing immediately from purchase. Your initial investment is paid back over the term until the spot price of ETH breaks out of the channel for the first time or the maximum 3-day term is reached. Max buy is the maximum that can be bought in one transaction and cumulative max is the total that can be bought over multiple buys. The widest channel (best deal) will be made available up to the max buy, followed by narrower channels that are available
