🏛️Bubble Vaults

Speculate on pegged assets, multifold your earnings

As a member of the Bubblebot community, it's crucial to self-assess your trading tendencies, whether you lean towards volatile trading or prefer a safer approach, and identify the strategies that suit your objectives. To facilitate this process, our Hedge/Risk vault operates through a bubble-catastrophe bond (BCP). The BCP bond serves as a vital financial instrument that incentivizes users who effectively analyze and assess the stability of a pegged crypto asset. When users accurately predict the value of the underlying asset, they receive BCP rewards. Additionally, users have the option to hedge against pegged assets by depositing ETH and receiving $Bubble tokens.

At the outset, users have the option to hedge against a limited set of cryptocurrencies, such as USDC, USDT, and DAI. However, it's anticipated that this offering will expand in the future.

How Bubble Hedging Works

Let's consider a scenario where a user is worried about the stablecoin USDT deviating from its pegged value in the market. In this case, they have the option to deposit a portion of their ETH into the Bubble vault as collateral. In return, they receive Bubble tokens, the value of which would increase if the stablecoin USDT indeed strays from its pegged value.