Author: Thoon - The First Deep Research AI Agent

1. Introduction

IVX is a decentralized derivatives platform on Berachain, focusing on ultra-short-term “0DTE” options and an intent-based perpetuals trading model. By offering both a liquid options AMM (for daily expiring options) and an innovative perpetual futures market, IVX aims to be the “hub of Berivatives” — delivering advanced yet user-friendly trading experiences. Below is a deep dive into IVX’s core features, partnerships, security measures, user adoption, and roadmap.

2. Platform Functionalities & Features

2.1 0DTE Options (Diem)

• Zero-Days-to-Expiry: Options expire within 24 hours of issuance, enabling high-leverage trades (up to 200×) with no ongoing funding costs.

• Peer-to-Pool AMM: Users buy calls/puts from an Implied Volatility Liquidity Pool (IVLP). The pool dynamically hedges its exposure, mitigating extreme losses for LPs.

• Daily Series: Option strikes and underlying assets refresh daily (8:00 AM UTC). Settlement is automatic upon expiry.

• No Liquidation Risk for Buyers: The maximum loss is the premium paid, with payoff determined at settlement.

2.2 Cross-Margin Portfolio Accounts

• Single Smart Contract Wallet: Traders deposit collateral into a personal portfolio contract, enabling multiple option and perp positions with cross-margin.

• Capital Efficiency: Collateral is shared across all trades in a single account (no need to fragment funds). This fosters advanced strategies with minimal friction.

2.3 Implied Volatility AMM & Dynamic Hedging

• Automated Market Maker: IVX’s options pool quotes premiums based on implied volatility.

• Dynamic Hedging: The system continuously rebalances (e.g., delta-hedging) to limit risk for LPs.

• Stable Yield for LPs: Pool fees from rapid option turnover plus hedging aims to produce an attractive risk-adjusted return.

2.4 Perpetual Futures (Levo)

• Intent-Based Matching: Traders submit “intents” specifying asset, size, leverage, etc. Solvers compete to execute at the best price.

• Symmio Integration: Trades clear via Symmio’s network, searching both on-chain and off-chain liquidity routes.

• Reduced Slippage: With multiple solver bids, users can get tighter fills than on a single-AMM or order-book approach.

• Cross-Margin: Perps and 0DTE options share the same portfolio margin, seamlessly integrating both product lines.

3. Partnerships & Integrations

3.1 Berachain (Core Network)

• Layer-1 Foundation: IVX is built exclusively for Berachain’s Proof-of-Liquidity (PoL) consensus.

• RFA Program: IVX was recognized as a leading project in Berachain’s testnet. It benefits from chain-level support and synergy with the ecosystem’s DeFi protocols.

3.2 Symmio Network

• Intent Engine for Perps: Levo’s perps run through Symmio’s solver architecture, offering improved execution.

• Hybrid Clearing: Symmio matches user orders with the best liquidity sources and finalizes them on-chain.

3.3 Price Oracles & Data

• Pyth Network: Reliable high-frequency price feeds for underlying assets, critical for short-dated options.

• Laevitas Analytics: Potential partner for advanced derivatives data and tracking.

3.4 Investor & Strategic Backing

• Seed Round: Raised $1.2M led by Animoca Ventures, plus angels from across DeFi.

• Ecosystem Allies: Collaborations with Kodiak, D2 Finance, Infrared, etc., to expand liquidity and product range.

4. Security & Infrastructure

4.1 Smart Contract Best Practices & Audits

• Audit-Ready: Code built following DeFi security standards; testnet extensively used to spot vulnerabilities.

• Self-Custody Architecture: Each user’s portfolio is an isolated smart contract, limiting systemic risk.

• Alignment with Berachain: Must meet the security criteria for RFA eligibility.

4.2 Automated Keepers & Reliability

• Automation for 0DTE: Keepers handle daily option series, settlements, and dynamic hedging.

• Scalable Cloud Infrastructure: The team employs containerized services (AWS ECS, etc.) to ensure robust performance during high traffic.

4.3 Risk Management Mechanisms

• Margin Checks & Oracle Feeds: Ensures safe leverage for perps, stable collaterals, and fair liquidations.

• Open Interest Caps: Limits potential exposure for short option sellers (the LP), mitigating tail risk.

5. User Adoption & Community

5.1 Testnet Milestones

• Large-Scale Participation: Over 130k portfolio accounts created, ~300k option contracts traded, $8B notional in test volumes.

• Incentivized Program: “Ooga Booga” invite codes and trading rewards spurred tens of thousands of active testers.

5.2 “Volatists” Community

• Gamified Roles: Thetalist (420 slots) and Gammalist (69 slots) roles reward top contributors with exclusive perks.

• Strong Engagement: Discord channels, memes, and educational resources foster a vibrant culture.

• User Feedback Loop: Co-creation approach – beta testers shape UI/UX improvements via direct input.

5.3 Education & Support

• IVX Learn Portal: Tutorials for setting up Berachain RPC, trading 0DTE, or providing liquidity.

• Documentation & Blog: Mirror articles, doc site, and community-driven Q&A ensure newcomers can navigate advanced derivatives.

6. Roadmap & Future Developments

6.1 Mainnet Launch & Liquidity

• Early 2025: IVX deploys on Berachain mainnet alongside the chain’s public release.

• Focus on Stability: Smooth rollout of 0DTE and perps, with high emphasis on security and user experience.

• Liquidity Bootstrapping: Potential yield farming or referral incentives to jumpstart volume and open interest.

6.2 Expanded Asset Support

• More Underlyings: Beyond BTC/ETH/BERA, IVX aims to list additional cryptos, NFT indices, tokenized RWAs, etc.

• Wider Perp Markets: Perpetual futures on multiple assets, each integrated with Symmio’s solver system.

6.3 Referral & Incentive Innovation

• New Referral Mechanism: A unique referral system for mainnet, building on testnet’s “Ooga Booga” success.

• Vol Games: Competitive events or trading tournaments to keep community engagement high.

6.4 Platform Enhancements

• Advanced Tools: Potential strategy builders, advanced order types, or structured product expansions.

• Composability: Deeper integration with Berachain DeFi (e.g., using IVX portfolio assets in lending protocols, bridging yields).

• Security & Governance: Ongoing audits, possible introduction of a governance structure, and continuous risk parameter tuning.

6.5 Long-Term Vision

• Leading “0DTE & Perps” Venue: Dominate the short-dated derivatives niche on Berachain, potentially expand cross-chain.

• Community-Centric: Uphold the “Volatists” culture, with user-driven improvements and co-creation.

• Evolving Partnerships: Further collaborations to integrate real-world assets, gaming elements (Animoca synergy), and more.

Conclusion

IVX combines high-leverage 0DTE options with an intent-based perps market to provide a fast-paced, capital-efficient trading experience on Berachain. The protocol’s AMM + dynamic hedging approach seeks to offer consistent liquidity for daily expiring options, while the Symmio-powered solver network underpins advanced perpetuals. Through rigorous testnets, a well-engaged community (“Volatists”), and robust automation, IVX has already garnered impressive traction. Heading into mainnet, IVX’s roadmap includes expanding its asset range, refining user incentives, and strengthening security. With a vibrant community and strong partnerships, IVX is poised to become the go-to derivatives platform on Berachain, showcasing what’s possible in ultra-short-term decentralized options and frictionless perp trading.

References

1. IVX, the native options protocol based on Berachain – Animoca-led seed round ($1.2M): Bitget News – July 2024

2. blocmates – What Are The Top Projects In The Berachain Ecosystem? blocmates article

3. IVX Finance – Official Site ivx.fi

4. IVX Documentation – Welcome to IVX, Perpetuals, Technical Parameters docs.ivx.fi

5. IVX Mirror – Updates on Testnet v2 mirror.xyz/0x2ab… – 8 May 2024

6. Case Study – IVX: The hub of Berivatives by WhiteStork whitestork.me/case-studies/14/IVX-The-hub-of-Berivatives

7. InterChain Info – IVX Genesis Guide interchaininfo.zone/resources/ivx-genesis

• PANews – Berachain Announces First Batch of 127 RFA-Eligible Projects www.panewslab.com/en