LESSON 5: SSOV BASIC STRATEGY

Time to fly....

LESSON 5: IT'S SSOV TIME! Ok guys, it's time to use the single stake option vaults. Head over to https://app.dopex.io/ssov and stake your $dpx, $rdpx, $gmx, $ohm or $eth You have about 48hrs left... Let's dive into some basic strategy.

1st I want to make clear that I'm just showing you a line of thought. I don't know what the market will do, pls only use money you want to effortlessly multiply. Kidding aside: make sure you can afford to lose your money. @revofusion built a great calculator/tool: https://dopex.revofusion.io/

Here we can examine different outcomes. I want to deposit in the ssov, so I'm a "call seller", I'm making my assets available so call buyers can pay a premium to get the right to buy my $eth at strike price (here 2500).

The basic strategy is simple: the lower strike price you pick, the riskier (more chance $eth will reach this price) but more rewards (premiums for the call buyers are high because high chance that strike price is hit).

A lower strike price is riskier because when the strike price hits, my $eth will be sold at that price. Imagine i set a strike price at 2500$ but $eth reaches $3500 I have to sell my $eth with 1000$ loss. This is partially compensated by fees and apy though!

Let's look at my pick: since I'm a bit bearish on $eth short term I picked the $2500 strike price. This gives me following prospects if $eth stays at the same price:

As long as $eth stays under strike price my $eth profit is around 0.27$eth per eth deposited. These are the fees and the apr. I will even keep my entire $eth as long as the price of $eth doesn't go below 3385.

In terms of $usd we are breakeven at an $eth price of 2082. This seems WEIRD. But it's not: we are down in $usd because our $eth lost value (about 600$), but this is compensated by fees and apy! Below this we are at a $usd loss.

I wrote this thread so you can use the calculater yourself. I urge you to make your own decisions in line with your portfolio goals and the risk you want to take. And oh yes, @dopex_io announed they added 300$dpx to incentivize the $eth ssov. Good luck!