Level Finance
Jul 6, 2023
• 5
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Investment Thesis
While Level initially gained prominence by becoming the first GMX fork on BNB Smart Chain, it has since grown to differentiate itself from other perpetual decentralized exchanges, or ‘perp DEXes,’ via multiple proprietary improvements from TradFi and DeFi. For a recap on, perp DEXes, check out our piece here.
The first improvement implemented by Level Finance is tranched risk management for liquidity providers. Drawing inspiration from Mortgaged-Backed Securities in TradFi, the protocol achieves this by introducing tranches of LP positions into programmatically-def...