Introduction to Fuse Leveraged Token
This document contains the introduction to Risedle Leveraged Tokens V2, codenamed Fuse Leveraged Tokens (FLT).
Fuse Leveraged Token is not live yet. It will be deployed on Ethereum Mainnet and Arbitrum when the security audit is finished. Please join our discord to get the latest update.
Fuse Leveraged Tokens (FLT) is a structured products created by Risedle built on top of Rari Fuse in the Tribe DAO ecosystem.
Fuse Leveraged Tokens (FLT) aims to simplify the process of opening, managing, closing leveraged position and protect users from liquidation. By letting users buy Fuse Leveraged Token, Risedle can helps users to enjoy leveraged gains by simply holding a token and eliminate the intricacies of managing a conventional leveraged position as users are not required to maintain margin or their position health ratio.

Fuse Leveraged Token Design

The Fuse Leveraged Token is designed in such way that users get protection against liquidation, while market makers are well-incentivized to execute the rebalancing process:

Users

  • Get protection against liquidation
  • Enjoy leveraged gains by simply holding a token
  • Eliminate the intricacies of managing a conventional leveraged position
  • Gasless leveraged position management

Market Makers

  • Can leverage the whole Fuse Leveraged Token underlying assets to execute the trade
  • Can swap collateral for ETHm or ETH for collateral at a discount
The Fuse Leveraged Token rebalancing process is designed to be permissionless and anyone is well incentivized to contribute to the ecosystem. Fuse Leveraged Token is compatible with any ERC20 that supported by Rari Fuse.
// web: https://sequencediagram.org/
title Fuse Leveraged Token
participant Users
participant gOHMRISE
participant Market Makers
Users->gOHMRISE: Buy gOHMRISE with USDC
gOHMRISE->Users: Mint gOHMRISE, Send gOHMRISE
group Market Activity
Market Makers->gOHMRISE:Check rebalance status
activate gOHMRISE
gOHMRISE->Market Makers:True
note over gOHMRISE,Market Makers:Leveraging Up
Market Makers->gOHMRISE: Swap gOHM for ETH at 0.6% discount
gOHMRISE->Market Makers: Sends ETH
note over gOHMRISE,Market Makers:Leveraging Down
Market Makers->gOHMRISE: Swap ETH for gOHM at 0.6% discount
gOHMRISE->Market Makers: Sends gOHM
deactivate gOHMRISE
end
Users->gOHMRISE: Sell gOHMRISE to USDC
gOHMRISE->Users: Burn gOHMRISE, Send USDC
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Fuse Leveraged Token Design
Users
Market Makers