Ethereum

Gnosis

&nbsp;<a href="https://www.bumper.fi/?utm_medium=pr&amp;utm_source=chainwire&amp;utm_campaign=launch" rel="noopener noreferrer nofollow">Bumper</a>, a decentralised finance (DeFi) protocol, today launched its <a href="https://www.bumper.fi/lp/defend-your-crypto?utm_medium=pr&amp;utm_source=chainwire&amp;utm_campaign=launch" rel="noopener noreferrer nofollow">crypto options killer</a>. The equation that underpins the protocol, promises jaw-dropping improvements over traditional Black-Scholes option desks, undercutting the market leader Deribit, by an average of 30% and set to disrupt a $13 trillion market.<a href="https://www.bumper.fi/lp/defend-your-crypto?utm_medium=pr&amp;utm_source=chainwire&amp;utm_campaign=launch" rel="noopener noreferrer nofollow">Bumper</a>’s innovation is the culmination of a three-year research and development programme, backed by $20m in early funding, and collaboration with the <a href="https://cryptecon.org/home.html" rel="noopener noreferrer nofollow">Swiss Center for Cryptoeconomics</a>, known for work on Synthetix, and coded by renowned developers <a href="https://digitalmob.ro/" rel="noopener noreferrer nofollow">Digital Mob</a>, who previously worked on protocols such as Barnbridge, Gnosis and Filecoin.The result is a protocol that undercuts traditional options desks by <a href="https://www.bumper.fi/protect?utm_medium=pr&amp;utm_source=chainwire&amp;utm_campaign=launch" rel="noopener noreferrer nofollow">one-third</a>, while paying between <a href="https://www.bumper.fi/earn?utm_medium=pr&amp;utm_source=chainwire&amp;utm_campaign=launch" rel="noopener noreferrer nofollow">3-18% APR</a> to Liquidity Providers (LPs) that supply USDC to the protocol. Early adopters of the protocol will also share in <a href="https://www.bumper.fi/post/incentives-for-early-users-in-the-bumper-protocol?utm_medium=pr&amp;utm_source=chainwire&amp;utm_campaign=launch" rel="noopener noreferrer nofollow">$250,000 worth of incentives</a>, by either protecting their ETH or earning on their USDC.<iframe src="https://www.youtube.com/embed/JBb9mYpWn9Y?showinfo=0"></iframe>&nbsp;<blockquote>Bumper’s Co-founder and CEO, Jonathan DeCarteret, says “Bumper removes the downside volatility of a user’s crypto tokens, paving the way for them to take leveraged positions with zero-liquidation risk. That in itself is a major breakthrough, but when you consider it’s on average 30% cheaper than the market leader, the value proposition becomes crystal clear.”</blockquote>The protocol charges a premium which is calculated incrementally during the term, based on a combination of market conditions, protocol rebalancing and proximity to the user’s floor. This generates real yields for liquidity providers who realise returns ranging between 3-18% APR on average without the need to sell option contracts.Until now, the methodology for calculating the price for hedging risk relied on the fifty-year-old Black-Scholes model, which has fuelled the $13 trillion options market.<blockquote>“Fifty years is a long time in tech and although Bumper uses completely different inputs and a novel rebalancing mechanism, it is surprisingly correlated with Black-Scholes, but more efficient, even under the most volatile of market conditions.” said Mr DeCarteret.</blockquote>Bumper has been deployed to the Ethereum mainnet, and is currently accepting deposits in ETH and USDC, with additional ERC-20 tokens and multi-chain support slated to be added to the protocol in rapid succession.For more information on Bumper, including their early user rewards and incentives for rival DeFi options protocol users visit <a href="https://www.bumper.fi/lp/defend-your-crypto?utm_medium=pr&amp;utm_source=chainwire&amp;utm_campaign=launch" rel="noopener noreferrer nofollow">bumper.fi</a>.About BumperBumper is a DeFi risk market that provides protection from downside volatility of crypto assets. Users buying protection set a price at which they wish to protect&nbsp;their crypto should the price fall, but they don’t lose out if the market heads upwards. Conversely, other users earn a yield by providing stablecoin liquidity to the protocol.For more information, visit <a href="https://www.bumper.fi/?utm_medium=pr&amp;utm_source=chainwire&amp;utm_campaign=launch" rel="noopener noreferrer nofollow">Bumper's website</a>, follow <a href="https://twitter.com/BumperFinance" rel="noopener noreferrer nofollow">Bumper's Twitter</a>, and join the<a href="https://discord.com/invite/Bumper" rel="noopener noreferrer nofollow"> Bumper Discord</a>.&nbsp;<h5>Contact</h5>CMO Jason Suttie Bumper marketing@bumper.fi

Bumper’s $20m bid to undercut Deribit Crypto Options goes live on September 7, 2023

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