Volatility Protocol, or dVIX, is a decentralized platform offering volatility index feeds optimized for cryptocurrency and the DeFi sector. It provides model-free, near real-time volatility indexes for any utility token with a strong derivatives market, facilitating innovative trading and hedging strategies through tokenized volatility synthetics.
Volatility Protocol uses a method similar to the Cboe Volatility Index. It generates raw data when a new Ethereum block is confirmed, saving this data to an IPFS-backed log approximately every 15 seconds. The volatility index feed is then updated every 15 minutes for near real-time precision.
Volatility Protocol offers decentralized, near real-time volatility index feeds that are specifically designed for crypto and DeFi. This approach allows for the development of tokenized volatility synthetics, supporting innovative trading and hedging strategies that are less feasible with traditional volatility indexes.
dVIX makes tokenized volatility synthetics possible by leveraging DeFi protocols such as UMA. This integration opens up new opportunities for trading and hedging in the crypto market, providing flexibility and innovation in managing volatility risks.
Traders and investors in the crypto and DeFi sectors can benefit significantly from using Volatility Protocol. It offers tools and feeds that support advanced risk management strategies through real-time volatility data and synthetic volatility products.
Volatility Protocol plans to release various volatility models and tools in future updates. These enhancements will empower users to publish real-time indexes for multiple utility tokens, expanding the protocol's capability and utility within the DeFi space.
Volatility Protocol (dVIX) is a decentralized platform providing near real-time volatility index feeds optimized for both centralized and decentralized utility tokens with solid derivatives markets. It leverages DeFi protocols like UMA to develop tokenized volatility synthetics for trading and hedging. Using a methodology similar to the Cboe Volatility Index, ethVIX updates every 15 minutes based on data logged to IPFS every ~15 seconds. Future releases will feature diverse volatility models and tools for real-time index publishing.
Volatility Protocol (dVIX) is a decentralized platform providing near real-time volatility index feeds optimized for both centralized and decentralized utility tokens with solid derivatives markets. It leverages DeFi protocols like UMA to develop tokenized volatility synthetics for trading and hedging. Using a methodology similar to the Cboe Volatility Index, ethVIX updates every 15 minutes based on data logged to IPFS every ~15 seconds. Future releases will feature diverse volatility models and tools for real-time index publishing.