USDB Vault
Earn fees from delta neutral market-making, Blast points and Bloom Points
Liquidity providers on Bloom earn 70% of all trading revenues. Additionally, LPs automatically get access to 100% of the Blast airdrop.
USDB Vault
Empower traders, customize your risk-return profile, and earn real yields. Liquidity providers are the life-blood of Bloom, and for that, they earn organic yield from all trades on the platform.
Anyone can stake USDB in our vault to receive bUSDB and supply trading liquidity to Bloom - in exchange, LPers receive a percentage of fees generated via market-making vaults on Bloom. These fees are proportionally split among bUSDB shares. The vault acts as a counterparty to traders on Bloom - when traders win their bets, their winnings are received from the vault. Conversely, when traders lose their bets, their losses are sent to the vault.
As you can see, Bloom is an ecosystem of onchain, margin-based primitives, and LPs will be eligible for all rewards accruing to this ecosystem. Investing in the vault is not risk-free, but we have several mechanisms to ensure our vaults are delta neutral and secure.
Delta neutral vault
The biggest challenge with vAMM models of leverage trading DEXs is the lack of delta neutrality. Liquidity providers face directional risk from traders' market views, hampering scalable liquidity and trading. Bloom has a dynamic funding rate mechanism that providers incentive to market participants to balance open-interest on the platform, ensuring competitive fees for traders and delta neutral market-making for LPs.
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