All blogposts
Unlocking Leverage on Base
Unlocking Leverage on Base
The Index Coop Leverage Suite is live on Base.
9/11/2024
Index Coop
Content
We’re thrilled to announce The Index Coop Leverage Suite is now live on Base, an Ethereum Layer 2 network incubated by Coinbase. Following our successful launch on Arbitrum, this marks another major step in our mission to simplify access to DeFi.
Why Base?Base is the fastest growing Ethereum Layer 2, backed by Coinbase and focused on delivering an excellent user experience for both developers and consumers.The rapidly growing liquidity for important assets such as stablecoins and ETH is a great fit for our leverage tokens. By bringing the Index Coop Leverage Suite to Base, we’re tapping into its thriving ecosystem, which enables lower transaction costs and faster execution.
Leverage offerings on Base are still nascent, and the introduction of the Leverage Suite provides users with a new way to access leverage strategies from the comfort of their preferred chain.
What is the Leverage Suite?The Leverage Suite is a set of powerful, easy-to-use tools for traders seeking efficient exposure to leverage without the complexities of traditional trading platforms. Through a fully onchain system, users can access a variety of ETH and BTC leverage strategies while benefiting from built-in liquidation protection, lower, more predictable fees, and a simplified interface.
This release introduces our ETH2x and ETH3x products on Base, all powered by Aave V3. With these tokens, you can amplify your market exposure to ETH while keeping safety and simplicity at the forefront.
Key Benefits of the Leverage Suite on Base:
Streamlined Access
: Access leverage with just a few clicks—no more complex trading platforms.
Lower Fees
: Built on Aave V3, the Leverage Suite can offer
significantly
reduced fees compared to perps. Check out this
Funding Rates vs Cost of Carry breakdown
for a sense of the scale.
Built-in Protection
: Stay secure with built-in liquidation protection to help you navigate market volatility.
The Index Coop Leverage Suite is designed for all types of users—from those who are curious but cautious about leverage to seasoned traders looking to reduce costs and improve their trading efficiency. No matter your experience level, our goal is to help you master the markets with tools that are both powerful and easy to use.
Get Started TodayExplore the Leverage Suite on Base and discover how Index Coop is redefining onchain trading for the modern DeFi user.
Dive deeper
Watch, read, and learn everything you need to master our leverage tokens.
Subscribe to our newsletter
Join over 6,000 subscribers in receiving weekly updates about our products, DeFi, and the onchain structured products space.
FAQs
Index Coop yield tokens simplify earning yield in DeFi by automating complex strategies and diversifying across protocols. They are user-friendly and cost-efficient, appealing to both new and seasoned DeFi users.
Leverage tokens automate a leveraged position by utilizing onchain money markets like Aave or Morpho to borrow funds, amplifying a user's exposure to an asset without requiring manual management. The token's smart contracts autonomously handle the borrowing, lending, and rebalancing of assets, maintaining a consistent leverage ratio despite market fluctuations. This automation eliminates the complexities of collateral management and liquidation risks, while also charging low, transparent fees that avoid expensive funding rates often charged by perps.
Index Coop is a decentralized autonomous organization (DAO) that specializes in creating and maintaining onchain structured products. Index Coop aims to democratize access to the crypto market, empowering everyone to participate in the growing digital asset ecosystem with ease.
No, yield automatically compounds and accrues to the token price. The value of the tokens you hold in your wallet will simply go up over time without the need to claim or compound rewards.
Index Coop products protect you from liquidation with automated risk management that rebalances assets to maintain a target leverage ratio that avoids liquidation.
INDEX is the ERC-20 governance token on Ethereum for Index Coop. INDEX empowers its holders to participate in decision-making processes that shape the future of Index Coop.
Yes, all Index Coop products are instantly redeemable for their underlying value at all times.
Yes, all Index Coop smart contracts have been audited by leading independent security firms such as OpenZeppelin, ABDK, Isosiro, & more. There is also an active bug bounty program through ImmuneFi. Audit information is published in the docs here.
Streaming fees (an annual fee paid continuously block-by-block), mint and redeem fees (only on leverage tokens), and borrow costs (interest paid to borrow funds from onchain markets when using leverage).