Filament Finance

Introducing Filament's Learn For Growth (LFG) segment to enable the community to learn about crypto perpetual trading and beyond. LFG #1: WTF are Perpetual Contracts? A comprehensive overview of what are #Crypto Perpetual Contracts and how Perpetual Contracts work. Financial #derivatives are the lifeblood of sophisticated trading strategies, allowing nuanced positions on future price movements without requiring ownership of the underlying asset. Perpetual contracts have taken this a step further by removing expiration dates, enabling perpetual adjustment to the trader's exposure. Perpetual contracts operate similarly to spot markets but with the significant addition of leverage. They replicate the spot price via a funding rate—essentially a periodic fee that long positions pay to shorts, or vice versa, based on market leverage and position imbalances. -> Mechanics of Perpetual Contracts Perpetual exchanges enable users to take long/short positions in perp contracts by depositing a min amount of collateral, referred to as the "initial margin" - specified percentage of the trade value that the trader is required to maintain to open a position. -> Important components of a perpetual contract: • Leverage • Funding Rate • Margin Requirements • Liquidation Protocols • Price Alignmnt Mechanism • Mark Price • Auto-Deleveraging (ADL) -> The benefits of perpetuals go beyond simple speculation. They offer the following strategic advantages: • Market Access • No Expiry • Hedging Efficiency -> While the rewards can be enticing, the risks are equally pronounced: • Extreme Market Conditions • Funding Rate Fluctuations • Counterparty Risks Perpetual contracts are an effective tool in the crypto trading space, providing flexibility & leverage that can lead to significant profits but also entail considerable risk. Full blog link in the comments.

Filament is an oracle-based Perpetual DEX, designed to help traders and liquidity providers extract the most out of #crypto perpetual trading. We are laser-focused and dedicated to one clear mission: Simplifying Perpetual Trading for All. For long, on-chain users have to choose one of seamless experience, liquidity or asset listings. Filament is complimenting the most powerful and battle-tested mechanisms with novel trading models. Filament embodies the fusion of simplicity and innovation, making perpetual trading accessible to all. Trust is at our core, which will reflect in our unwavering reliability and sincerity, all without losing our inclusive touch. As early contributors to DeFi and the interchain ecosystem, we are determined to redefine possibilities. Yet, we're not solo players. We believe in collaborating with fellow builders and protocols, co-creating the future of #DeFi and interchain. Learn more about our vision: