Welcome to Kogen Markets ! We are building a state-of-the-art order book-based DEX specifically aimed at options. Because we love options and we feel there is a gap in Cosmos DEFI for options trading, we hope to create the go to reference venue with kogen.markets.
Options may seem scary at first, however they are fabulous trading tools once you understand them well ! Say for instance you own some ATOM tokens and you are willing to get some yields on them, OR you are happy to sell them at 20% above market price in 2 week's time. Then you can lock these tokens in our smart contract and sell a Call option. In that case, at expiry (in 2 weeks), only 2 things can happen: either ATOM price has not increased as much as 20% (the Strike in our example), and you receive back your tokens (and you keep the premium received as a yield : ). Or the price of ATOM has risen by 20% or more and you have sold them, realizing a gain of 20% (you keep the premium as well, and the only downside is that you could have gained more by keeping your coins). Got it ? it also works for those with a bearish view, using Put options.
At Kogen Markets we want to provide a transparent, safe and non-custodial trading experience that matches those of tradfi or CEFI venues. Ultimately, anyone will be able to implement elaborate and capital-efficient trading strategies using options and futures and INJ, ATOM and many other assets.
Furthermore, we want to create the Uniswap or DyDx for options, letting users create permissionless markets linked to any asset or oracle's feed, including tokenized real-world assets.