⚙️The Flat Money Protocol

People interested in depositing rETH as collateral to mint Flat Money (UNIT) or collateral as margin to open a leverage position can participate in one of the two (2) available markets in the Flat Money protocol.

How the Protocol Works

The Flat Money protocol has a dual-market infrastructure, which allows you to participate in the Flat Money (UNIT) Market as a Flat Money Liquidity Provider (UNIT LP) or in the Perpetual Futures Market as a Leverage Trader.

Capital efficiency is achieved with Flat Money’s dual-market approach since UNIT LPs deposit rETH as the flatcoin’s backing asset and this liquidity pool is shared with the Perpetual Futures Market. When Leverage Traders open a long position, they borrow rETH from UNIT LPs and contribute fees to the liquidity pool, which increases the value of Flat Money (UNIT) over time.

Flat Money’s market architecture is illustrated in the diagram below.