Singleblock πŸ™
This tool enables building up options and futures strategies with multiple different β€œlegs” to mitigate position risks such as severe price movements by simultaneous bids.

Understanding Singleblock

Singleblock presents a case for a unique position-building interface separate from Portfolio Builder. Therefore it’s unique in the way that it allows for option strategies to be flawlessly initiated. The degree of complexity of options contracts surfaces when there is a need to manage strategies and track their effectiveness.
For instance: Option positions are likely to be constituted from several positions at once. The common β€œstraddle” strategy consists of buying call and put options with the same strike price. If a user is forming an option strategy by placing orders one by one, there is a high risk of price alteration on the asset by the time the succession of orders is executed.
With Singleblock a user can opt for immediate initiation of an option strategy order placement. Following that, every enacted order will be initiated simultaneously, saving the user from a potential price alteration risk. This can be configured preliminarily by creating an order of, for example, option and futures contracts simultaneously. Additionally, such construction will be executed within a single block on the Solana blockchain.

The Singleblock workflow

Stages of placing an order include:
    1.
    The user selects an account (in the DeFi protocol, the connection to the Solana blockchain wallet will simply be displayed).
    2.
    The user chooses an underlying asset to create an options position
    3.
    The user selects an option construction among presets (strangle, straddle, bullish spread, etc.), or a custom option.
    4.
    The user adds delta hedging. When orders are executed, the required number of futures will be bought or sold in parallel so that the position delta equals the level selected by the user.
    5.
    The user specifies strikes and the number of options.
After filling in all the fields, orders are sent to the order book (by clicking the corresponding button) in accordance with one of the selected order types:
    Limit order – the user himself chooses the prices at which orders will be placed.
    Market order – orders will be executed at the best prices in the order book.
    FOK (Fill-or-Kill) order – orders will be either simultaneously executed at the prices set by the user or cancelled. Partial closing or opening for this type of order is not allowed.
Last modified 25d ago