Automating Arbitrage Alpha: Perpetual Protocol Launches OP Vaults

Perpetual Protocol, a leading innovator in the decentralized finance space, has launched 'Hot Tub Vaults' to capitalize on arbitrage opportunities for Optimism's native OP token.

Following the success of the first set of Hot Tub Vaults for the Ethereum market, (which launched in February 2023) Perpetual Protocol has followed up with a second pair of vaults that execute an arbitrage strategy for Optimism's OP token.

The newly launched Hot Tub Vaults provide a simple, automated way for OP and USDC token holders to participate in arbitrage trading and generate sustainable yield, with an APR of up to +17% during the internal testing phase.

Hot Tub Vaults: Making Arbitrage Alpha Accessible to All

Arbitrage is an investment strategy that involves exploiting price differences between different markets or exchanges to make a profit. However, this style of trading can be challenging for non-coders and non-traders, as it requires quick decision-making, access to multiple exchanges, and the ability to manage risk effectively.

The Hot Tub's OP vaults automate the process of earning profits from arbitrage trading, making alpha accessible to all and giving users access to a sustainable yield. Users can deposit Optimism's OP tokens or USDC stablecoins into the vaults, which will then perform arbitrage trades for the OP token across spot exchanges like Uniswap and Perpetual Protocol's derivatives exchange.

The vault's smart contract ensures that the distribution of profits is automated, secure, and transparent. All profits generated from these trades are distributed among the vault participants based on their share of the total deposited funds, providing them with a passive income stream. 

Anyone interested in earning passive income from Hot Tub vaults will also stand to benefit from zero management or performance fees, but this offer is running for a limited time only. 

Benefits of the Hot Tub's OP Vaults

There are several benefits enjoyed by depositors when they dip into the new Hot Tub vaults for the OP market:

  • Passive income generation: The Hot Tub's OP vaults allow users to earn a yield on their OP or USDC tokens without the need for active management. This provides an attractive source of passive income for crypto holders looking to diversify their portfolios.
  • Simplified arbitrage trading: All complexity from arbitrage trading is removed, and the vaults automate the process, making it more accessible to users who may not have the expertise or resources to engage in arbitrage trading manually.
  • Enhanced security: The Hot Tub's arbitrage vaults provide a secure and transparent way for users to participate in arbitrage trading, without any reliance on centralized entities.
  • Low gas fees: The use of Optimism's Layer 2 scaling solution allows for reduced gas fees, making it more cost-effective for users to participate in on-chain arbitrage trading.

Join the Hot Tub's Waitlist for Early Access

Perpetual Protocol's innovative Hot Tub vaults present an exciting opportunity for cryptocurrency holders to capitalize on arbitrage trading in a simplified, automated, and secure manner. The newly launched OP vaults mark a significant milestone in Perpetual Protocol's mission to democratize access to investment opportunities in the DeFi space. 

By leveraging the power of Optimism's Layer 2 scaling solution and decentralized exchanges within this ecosystem, the vault opens up a hassle-free and trustless way for cryptocurrency users to earn a sustainable yield on their OP or USDC holdings. Interested parties can Sign up for the waitlist to get access to the vaults and start earning yield using OP or USDC tokens. 

About Perpetual Protocol

Perpetual Protocol is a trustless crypto trading platform built on the Optimism Layer 2 scaling solution. Users can explore perpetual swaps, earn yield and build the future of DeFi with an open-source and decentralized trading protocol. Traders can take long or short positions on 18 different cryptocurrencies in a non-custodial way. Passive traders can join the Hot Tub vaults to effortlessly earn yield from a non-directional trading strategy, capitalizing on arbitrage opportunities. 

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Perpetual Protocol is the source of this content. This Press Release is for informational purposes only. The information does not constitute investment advice or an offer to invest. 

Source: Perpetual Protocol