Opyn – a platform to hedge DeFi risk – have re-instated their options schedule today for ERC20 tokens only, along with the launch of two brand-new options contracts for YFI and WETH.
1/ These past two weeks we have stress tested the protocol, implemented robust monitoring, reviewed our internal testing processes. After these improvements, we are reinstating the options schedule w/ ERC20 options only.
Two new ERC20 options are live today (YFI, WETH).
— opyn (@opyn_) August 21, 2020
The announcement comes after two weeks of improvements around security, including stress-tests and internal testing processes.
Opyn also stated they are in the process of re-auditing a newly-amended ETH put option contract, patching the recently exploited bug.
YFI and WETH options – the details
Both of the new options contracts launched today are put contracts – providing the bearer with the right (but not the obligation) to sell the underlying asset at an agreed price.
The two contracts are as follows:
oYFI: The bearer has the right, but not the obligation, to sell YFI for $8,500 on or before September 18, 8:00am UTC.
oWETH: The bearer has the right, but not the obligation, to sell WETH for $400 on or before September 4, 8:00am UTC.
Both of the contracts must be collateralized with USDC.
ETH puts under re-audit, back in action soon
Opyn’s ETH put options contracts remain out of action, following an exploit which resulted in the loss of $371,000 USDC two weeks ago.
Fortunately, the bug found in the contract’s code was unique to the ETH options contract, and did not affect any of the other ERC20 token options contracts on the platform.
Why WETH?
WETH will fill the void left from the absence of ETH put options, while its smart contract remains under the process of being re-audited and re-launched.
Being an ERC20 token, WETH options are safe from the bug which caused the oETH exploit – yet track the price of ETH almost exactly.
For all intents and purposes, WETH options are an almost perfect substitute for real ETH options, until they become available once again.
The re-launch of Opyn comes at a much needed time as DeFi tokens remain as volatile as ever. As more generalized options protocols start to take form, it’s important for Opyn to solidify their lead as the premier place to trade puts and calls on leading ERC20 tokens.
To stay up with Opyn, follow them on Twitter.
Alejandro is a New-Zealand based trader and writer who has been involved in the cryptocurrency and blockchain space since early 2016. Being extremely passionate about this emerging technology, he has written content for a myriad of projects and news outlets.
