- Short deposit and withdrawal times of the underlying strategies due to full automation across smart contract, custody, and CEX perps markets components. These are critical for enabling efficient DEX arbitrage and peg protection for maxBTC.
- In-protocol liquidations using instant withdrawals of the underlying strategies and protocol’s liquidity buffer in the future. Critical for the lending markets, this feature enables higher lending caps for maxBTC and increased usability as collateral.
- Secondary DEX liquidity enables instant exit from a maxBTC position. maxBTC price on a DEX can be maintained around the redemption rate (‘peg protection’) due to the short withdrawal period.
maxBTC in DeFi
maxBTC liquidity enables the following DeFi use cases:- Lending collateral High liquidation capacity allows lending markets to treat maxBTC as reliable collateral.
- High-yield strategies Supports advanced use cases such as looping through external lending integrations.
- Consumer facing BTC products Due to predictable withdrawal time, maxBTC is a perfect asset for BTC yield products.
Exit Options
maxBTC provides three ways to exit a position:- Redemption: direct redemption for underlying BTC assets with a guaranteed time
- In-protocol liquidation: exclusive access to instant liquidations for DeFi partners such as lending protocols
- DEX swap: instant exit via a DEX pair