Pengu 🐧🐧🐧

Year of the Fire Horse

Since 10/10 Ethena was poorly positioned for what has been a material regime change. In the last few months we have been building out the infrastructure to securely access alternate sources of safe and scalable collateral to better position the business for these periods of downturn. This is an important piece of work which should have been done a long while ago, but now positions USDe backing to experience less rate volatility during periods of suppressed crypto native interest rates. Going forward, once approved by the independent risk committee, USDe will have access to: -Basis on non crypto assets including commodities and equities -Institutional triparty collateralized lending via @coinbase @krakenfx @Anchorage and others -Prime lending across CeFi and @HyperliquidX -Liquid high quality non-tbill RWA exposures Each of the above represent multi-billion capacity opportunities with that will now sit alongside the existing USDe collateral base to improve the product resilience through the cycle.

Our funding rate comparison page is live: app.derive.xyz/funding $HYPE funding currently sits at +85% APY, longs paying shorts.

Another big day at Derive. $221M+ notional in 24hrs, with options leading the way. 🔥 3 massive condors printed: 100,000 SOL, 8,000 ETH, and +1,680 BTC Contracts Year of the firehorse 👀

@M1nvest They should buyback with 100% of free cashflow and borrow an extra 2-3 Billion EUR (or SEK equivalent) to buyback at this prices tbh

No dividens from $EVO ”More info soon” 👀

Derive is partnering with @HarukoTech to integrate onchain options and derivatives data directly into institutional risk, P&L, and post-trade analytics workflows. Derive activity will now flow into the systems many funds and trading desks already use to monitor portfolio exposure.

@itseneff CT is yet to fully discover all the wonders that onchain option trading enables

March has been Derive's highest fee month in the last year, and there's still 2 weeks left

In case you needed another reason to trade options on a self-custodial, verifiable venue versus lending your capital to an OTC desk with 0 visibility into what's really going on.

SOL options are now live on Derive. Traders can access onchain options markets for one of the most active ecosystems in crypto.

Derive.xyz is the institutional-grade decentralized options exchange. 5+ years live, zero security or insolvency incidents. Self-custody with CEX-level execution. TL;DR: Self-custody. Deep liquidity. Lowest fees. Built for funds, desks, miners, institutional hedgers, and volatility traders. Why traders choose Derive: ➤ Institutional-grade execution: Sub-ms latency, 20m TPS ➤ Self-custodial & permissionless: Zero custody risk ➤ Lowest fees: Top-tier maker/taker [-0.5bp / 0.75bp] ➤ Deep liquidity: FalconX + top-tier Market Makers ➤ Block RFQ: Competitive pricing for large size ➤ Portfolio margining: Capital-efficient cross-asset margin ➤ 21+ collateral types: BTC, ETH, staked assets, yield assets ➤ Regulated MPC custody: Fireblocks, Anchorage, Copper, and ClearLoop-style mirroring We are Derive XYZ (formerly Lyra), the largest self-custodial options exchange, often described as "Deribit onchain." Derive has processed $22.3B+ in notional volume, generated over $7.85M in revenue, and bought back more than 1.5% of the $DRV token supply from said revenues. We currently hold about $1.3B in open interest, primarily in options, and deliver CEX-level execution with the advantages of self-custody and institutional MPC custody via partners like Fireblocks, Anchorage, Copper and more. Live for over five years without a security or insolvency incident, Derive is seeing accelerated growth following Deribit's sale to Coinbase, particularly from Asian desks seeking a neutral venue. Top-tier liquidity is supported by FalconX and other major market makers. RFQ provides highly competitive pricing for large block trades, while orderbook liquidity continues to deepen. Derive is also rolling out altcoin options, already supporting a broad range of collateral types (+21 collaterals) that CEXs don't offer. Institutions want to harvest volatility consistently through options. Derive is that venue. Derive is the only liquid market for $HYPE options and is launching $SOL and $ADA next. In 2026, Derive is positioned as the liquidity layer for volatility products, with more than 23 builders creating apps, tools, and experiences for onchain options, including retail options trading available via the App Store. This growing ecosystem is further supported by the new builder codes program, which gives founders a straightforward way to build unique volatility products without having to solve the liquidity problem, something that typically takes years to establish. Our key advantages Seamless onboarding Fully self-custodial and permissionless, onboarding takes less than 5 minutes. By leveraging smart contracts, Derive enables settlement of options contracts between counterparties with no intermediaries, legal agreements, or clearing houses. You simply need to send counterparties a link with the trade, and that flow will route 100% to you. Low Fees We provide lower fees than Deribit, and our new institutional fee tiers are 33% better than those of our main competitors. Specifically, our top tiers for maker/taker on the OB are [-0.5bp, 0.75bp] for options. Transparency Everything is transparent. All margin rules, liquidations, and risk parameters are publicly verifiable, with no hidden mechanisms. Unlike centralized exchanges, you are in control of your funds on Derive. As a decentralized exchange, you have full custody and control of your collateral and positions. Derive can never seize or misuse your funds. Additionally, our system handled the 10/10 event exceptionally well, proving the robustness of our risk management. Premier Custody Solutions Institutions can engage via regulated custodians, including Fireblocks, Anchorage MPC wallet (Proto), or controlled WalletConnect access. For large users concerned about depositing tens of millions into a smart contract, we offer off-exchange custody, allowing you to access DeFi while keeping your assets in cold storage at your preferred custodian. These assets can be held in a cold wallet, and a feed of this balance, read onchain, will be used to inform a mirrored (i.e. tokenized) balance of this asset on Derive. Consistent Yield through Vol Selling With the implosion of basis yields, funds are moving up the risk curve in search of yield. Options are becoming the go-to product for that purpose. Digital asset treasuries (DATs) and major holders are already using Derive to generate structured yield through volatility harvesting. White-glove service While we don't expect users to fully migrate immediately, this is the ideal time to diversify, and we'll do everything possible to make that transition seamless and ensure you get a good fill on the RFQ. Why options, and why now? Options are traditionally the last market to mature. As crypto becomes increasingly institutional, that time has arrived. Derive dominates 90% of the onchain options category, much like Deribit dominates CEX options. Most competitors have failed or given up because building deep, liquid, onchain options infrastructure is extremely difficult and takes time. Due to the natural fragmentation of liquidity, most options traders tend to converge around a single venue, turning options into a winner-takes-most market. Currently, that venue is Derive, and Derive is positioned to lead as the onchain category scales 100x. Derive.xyz Product Highlights ➤ Top-Tier Security: Fully self-custodial with 100% on-chain, audited smart contracts and a robust risk engine. ➤ High Throughput, Low Latency: CEX-quality performance for onchain options and perps. ➤ CLOB + RFQ: Trade spot, futures, and options through a fast orderbook and competitive block-trade RFQ system. ➤ Capital Efficiency: Portfolio margining, cross-asset collateral, and flexible settlement far beyond centralized venues. ➤ Onchain Transparency: All margin rules, liquidations, and risk parameters are publicly verifiable, with no hidden mechanisms. ➤ Deep Liquidity & Best Execution: Hybrid RFQ/orderbook model ensures tight pricing and large-size fills. ➤ Diverse Strategies: Options, perps, structured products, fixed/floating-rate lending. ➤ Institutional Custody: Fireblocks, Anchorage MPC (Proto), and restricted WalletConnect flows. ➤ Low Fees & Incentives: Class-leading execution costs, rebates, and $DRV rewards. ➤ Institutional Support: White-glove onboarding and custom custody integrations.

Gm 🐴🔥

Onchain options have been getting some traction lately, we just posted a record $584M+ week. In this piece, @FalconXGlobal breaks down what’s driving the surge; institutional liquidity, RFQ block trading, and growing demand for options. Worth the read: x.com/FalconXGlobal/…

New to Derive? Here's a brief intro on the leading onchain options platform.

The vision for Derive - which a lot of people get wrong - is not just onchain Deribit. We’re building the infinite payoff factory: any payoff, on any asset, 24/7. Tailored yield generation, hedging, and speculation at institutional scale that can wrap around any high quality asset, be repackaged, and distributed wherever it’s needed across the Internet Financial System. We’ve positioned Derive intentionally. Options venues take years of expertise, liquidity building, and grinding BD to reach competitive depth. That work is all coming together now. Teams can integrate with Derive, add their own layer on top, and deliver differentiated financial products to their users, without spending years doing the most difficult parts. This is why 20+ teams are already building on Derive. As more high quality assets come onchain at scale, we are readying our infrastructure for a world where that number to grow into the thousands.

Largest trade in Derive history just printed! $130M+ BTC options structure: • 500 BTC March 27 62k Put • 1000 BTC March 27 65k Put • 500 BTC March 27 68k Put

Another $120m day for @DeriveXYZ