# Introduction The Crypto Volatility Index (CVI) is a decentralized volatility index for crypto that allows users to efficiently trade market volatility without the directional risk of spot trading. Decentralized finance, or DeFi, one of the largest industries in the cryptocurrency space, surged to more than $150 billion in May 2021. Volatility trading is set to be the next big development for DeFi, ultimately giving traders one more way to profit from the cryptocurrency market’s volatile nature. With this in mind, active traders, hedge fund managers, and institutional investors now require tools to track the volatility of the cryptocurrency market. Experienced traders will otherwise continue to use riskier strategies like long straddles and strangles. On the other hand, the emergence of the derivative market has signaled the need for solid pricing strategies as well as reliable risk measures. There is a growing need for a new decentralized volatility index that provides a proper estimation of the risk measurement of the cryptocurrency components, and a delivery of market status information to potential investors. As such, we believe the crypto market needs a volatility index that is decentralized and dynamic, unbiased, and not connected to any exchange. Today, we announce exactly that, CVI, a revolutionary and first of its kind decentralized volatility index for the crypto market so that traders can hedge themselves against volatility or lack thereof.
CVI is a full-scale decentralized platform that brings the sophisticated and very popular “market fear index” to the crypto market and is created by computing a decentralized volatility index from cryptocurrency option prices, together with analyzing the market’s expectation of future volatility. We believe that CVI provides the most reliable DeFi tool suitable for analyzing volatility, hedging portfolios and earning from being a liquidity provider. # CVI Index The CVI index is a volatility index for crypto. The Crypto Volatility Index (CVI) stands as a pioneering benchmark in the cryptocurrency market, offering a decentralized, stable, and transparent measure of market volatility. Developed in collaboration with Prof. Dan Galai, co-creator of the original CBOE volatility index, CVI serves as a "market fear index" specifically tailored for the dynamic world of cryptocurrencies. **Functionality and Mechanics** At its core, CVI tracks the 30-day implied volatility of major cryptocurrencies, namely Bitcoin and Ethereum. The base CVI index operates on a scale from 0 to 200, reflecting varying levels of market volatility. Its calculation is rooted in the Black-Scholes option pricing model, which integrates the implied volatility derived from cryptocurrency option prices and incorporates the market's projections of future volatility.
**Trading and Strategic Application** Trading based on the CVI provides a unique strategic advantage. It allows traders to capitalize on market volatility without the need to predict specific price directions. Traders make a profit on volatile markets, whether the prices are going up or down. **Tradingview Integration** TradingView is a widely recognized and highly regarded platform among traders and investors, with a vast user base spanning the globe. It offers state-of-the-art charting tools that allow market enthusiasts to engage, analyze data, and prepare for [EURUSD](https://www.tradingview.com/symbols/EURUSD/), [BTCUSDT](https://www.tradingview.com/symbols/BTCUSD/) trading and various other assets. # Index Calculation Calculation Methodology of the Crypto Volatility Index (CVI) **Foundational Model: Black-Scholes Option Pricing** The Crypto Volatility Index (CVI) is fundamentally derived using the Black-Scholes option pricing model. This model plays a pivotal role in computing the implied volatility from cryptocurrency option prices. Alongside this, it integrates an analysis of the market’s expectations regarding future volatility, thus providing a comprehensive view of market sentiment. **Essential Data Sources and Market Dynamics** The efficacy of the CVI calculation hinges on the availability of a robust options exchange ecosystem. This ecosystem must encompass well-defined rules, active market makers, comprehensive order books, and substantial turnover to yield reliable option prices. A crucial aspect of this calculation is ensuring the integrity of the option chain; gaps or inconsistencies in this data can lead to inaccurate volatility assessments. As part of our data aggregation process, we utilize a variety of sources like Deribit, recognized for its advanced platform and widespread adoption in the derivatives and options trading space. By leveraging these sources, we can effectively analyze and interpret market expectations of future volatility, addressing the unique liquidity challenges inherent in the cryptocurrency market. **Technical Integration and Decentralization** To maintain decentralization and transparency in the CVI calculation process, we employ the Chainlink architecture. This system utilizes multiple independent oracles, each equipped with external adapters. These adapters are responsible for retrieving trading options data from across the market. The responses from each oracle node are then aggregated to form a singular, consolidated price index. This aggregated index is subsequently broadcast onto the blockchain. Once on-chain, the data becomes accessible for smart contracts, enabling them to execute critical on-chain functions. These functions can range from settling derivatives contracts to adjusting trading strategies based on real-time volatility metrics. ![](/files/kNwJC7aNuJi6976sU3FL) The combined CVI index is a weighted sum of CVI indices calculated for several cryptocurrencies (for example BTC and ETH), where weights are set in accordance with the asset market capitalization. ### CVI Chainlink External Adapter In order for CVI to source data from premium off-chain APIs and perform custom calculations on that data, we need to make use of [Chainlink External Adapters](https://docs.chain.link/docs/external-adapters). The External Adapter allows smart contracts to connect to Chainlink nodes, send them a specific list of tasks to execute (called a Chainlink Job Spec), and identify a list of possible ways to schedule them (called an ‘initiator list’). The initiator allows us to trigger the job spec, and we will be using the Chainlink Cron initiator to schedule our external adapter to run specific time intervals. ![](/files/lAgAnKUsnHUjVhaLF9bZ) Chainlink allows complete freedom with external adapters, as they can be written in any language and operate as serverless functions on AWS / GCP. We will be using a dockerized Node.js server to issue API calls to crypto derivative options exchanges such as Derbit, LedgerX, OkEX, and CBOE.
![](/files/okWVgBzR1MAAvRBFVITK) ### CVI Calculation + Data Aggregation Due to the high cost of repeatedly dispatching and updating values on the Ethereum blockchain, the CVI calculation and data aggregation will be done off-chain inside the CVI External Adapter. The final result is then sent on-chain to the CVI Oracle Contract as a single value — the CVI index. #### Flow: * At regular intervals, Chainlink oracle nodes fetch market data on cryptocurrency options contracts from multiple data provider APIs and aggregate the data off-chain (in the CVI external adapter) using the Black-Scholes option pricing model, weighting assets by market cap to create a single reference price point for the CVI. * This reference price point is compared to the previous on-chain update and if it is beyond a specified deviation, the Chainlink oracle node performing the check initiates a round update for the Reference Price Feed by creating an on-chain transaction with their data. * Once other oracle nodes in the oracle network see the initiation of a new round, they each perform the same data sourcing and aggregation process, responding with their CVI data on-chain. * After a sufficient threshold of oracle nodes have responded on-chain, each node’s response is aggregated together to generate a single tamper-resistant reference data point. This refined CVI data point is then made available to external contracts which can be used for the settlement of derivatives contracts and other DeFi smart contracts. * The process then repeats, with nodes checking if updates should occur at regular intervals and monitoring for round updates from other nodes. This ensures the on-chain CVI Reference Price Feed is always kept fresh with tamper-resistant and high-quality market data reflective of real-time market conditions.
# Understanding The Index Using the index, people can have the same insights of the market that people that look into traditional markets have using traditional volatility indices: * Understand the expected Volatility of the market * Develop trading strategies for short-term gains * Hedge their portfolio against price fluctuations. There are a multitude of trading strategies users can implement using the CVI Index. As an example, below we describe 3 of the most common strategies for trading the volatility index: #### Black swan — Hedging Strategy If a trader expects that some large-scale shock can affect the whole market, he can buy CVI and, if the market downturn really happens, the trader can make substantial gains from the trade. For example, if the trader entered the market on some of the first days of February 2020 when the CVI level was at 50, he could have made a 260% profit closing the position when the CVI level was at 180 a few days later. #### Overheated market — Hedging Strategy Unlike the previous trading strategy, this is a much more common situation for all financial markets. For example, let's look at the Ethereum price chart at the beginning of September of 2020: ![](/files/CbL2FarzaxM3HikBihjg) The explanation for this market behavior is the overbought state of the market into the “DeFi” tokens — a very promising and quickly developing market segment, but no investment market can be stable being overbought. As a result, when the stock market plunged by approximately 5%, cryptocurrency markets lost much more and the Defi components which are based on Ethereum got the most significant drawdown. The possible strategy of using CVI for this situation is to open a long position of the CVI Index when volatility is rising in the market. Following the example of the graph above, if a trader starts buying into CVI in the last days of August, then the gains of the long position of the CVI index would have compensated most of his losses in Ethereum all through September. #### Back slope — speculative strategy As demonstrated in many previous examples, after a sharp surge CVI usually goes down to its average levels. If a trader sells CVI at such a slope, the trader can make a profit once the index is going down. Like all speculative trades, this strategy is more sophisticated and requires more analysis, but on average it can be more profitable than the others described above. # Overview For CVI to be popular and widely adopted, there should be an instrument (system) allowing traders to easily open positions against the index and trade it. Therefore, as part of the CVI launch, we will also introduce an innovative and full-scale decentralized ecosystem that includes; The CVI Platform AMM, Volatility tokens, Theta vault and the $GOVI token. ### CVI Platform AMM In our efforts to create a full-scale decentralized ecosystem, along with developing the CVI Index, we created a user-friendly platform allowing users to trade the index directly and hedge themselves to market volatility or lack thereof. The liquidity provided is utilized by the CVI AMM (Automated market marker), which sells volatility according to the index value, it is in essence the other side of every trade done by traders. \ The AMM takes into account the market demand for volatility in a given moment, as well as risk management metrics of the liquidity providers. ### Theta Vault The defining idea of CVI V3 and its new features, including our new innovative liquidity vault: the Theta Vault, is to allow a sustainable and scalable source of liquidity for the CVI volatility tokens on any secondary market and decentralized exchange. ### [GOVI token](#govi) The CVI platform is governed by the $GOVI token. $GOVI tokens can be staked for $esGOVI rewards and real yield in the near future. ### GOVI Treasury 15% of the fees generated and collected by the platform and the ecosystem will be used to fund the GOVI treasury, to be used for the CVI ecosystem’s further growth and development. # CVI V3 A decentralized platform which allows trading on the market's expectations of future volatility CVI Platform - The previous version 2\ \ In 2021 the CVI shipped v2, alongside the CVI ERC20 token, which is pegged to the CVI index. The token’s innovative design enabled it to unlock two of the four design requirements stated below, while the new CVI v3 is designed to fulfill all of the original design goals. We will revisit each design requirement and illustrate how they were addressed in v3.\ \ CVI Platform - Version 3 (Live on the Arbitrum network) The defining idea of CVI (The Crypto Volatility Index) v3 and its new features, including our new innovative liquidity vault: the Theta Vault, is to allow a sustainable and scalable source of liquidity for the CVI volatility tokens on any secondary market and decentralized exchange. This major scalability improvement allows shipping one of the flagship products of the CVI ecosystem - the leveraged volatility tokens, which have been the early vision of the platform since its inception. In comparison with previous versions which were targeted toward early adopters, the new v3 is a complete and mature version of the ecosystem. **Below are the 4 design pillars upon which the volatility tokens are built as implemented in CVI v2 and v3:**
### The users funnel under the new architecture includes the following actions: **1. Swap to/from volatility tokens on the DEX**\ \ **2. Deposit/Withdraw liquidity to/from the Theta vault**\ \ **3. Mint/Burn volatility tokens**
# CVI V4 #### 1. Introduction to CVI V4 **Overview** The latest iteration of the Crypto Volatility Index (CVI) platform, Version 4 (V4), marks a significant advancement in the realm of decentralized finance (DeFi) and crypto volatility trading. This upgrade introduces a suite of innovative features and enhancements, designed to provide a more sophisticated, efficient, and user-friendly trading experience. The core innovations of CVI V4 include the Hedged Theta Vault, the introduction of Ultra CVI, and leverage options, each tailored to meet the evolving needs and strategies of modern crypto traders. **Core Innovations** * **Hedged Theta Vault:** Building upon the foundation laid by the Theta Vault in CVI v3, the Hedged Theta Vault introduces a novel mechanism for balancing exposure in liquidity pools. This feature is particularly significant for managing the inherent risks associated with one-sided market positions. By effectively hedging exposure, the Hedged Theta Vault aims to reduce funding rates, thus addressing one of the key concerns faced by users in previous versions. * **Ultra CVI:** The Ultra CVI is a new derivative that amplifies the base CVI index by a factor of three. This enhancement makes the index more responsive to market volatility, offering traders an opportunity to engage with a more dynamic and potentially lucrative trading instrument. The Ultra CVI is designed for traders seeking to capitalize on significant market movements, providing a more intense trading experience. * **Increased Leverage Options:** CVI V4 introduces the ability for traders to leverage their positions up to 16 times, a substantial increase from previous versions. This feature, in combination with the Ultra CVI, allows for a compounded leverage effect, offering a total leverage potential of up to 48 times compared to the base CVI index. This increased leverage provides traders with powerful tools for capitalizing on market volatility. **Enhanced User Experience** CVI V4 is about refining the user experience. The platform integrates Chainlink's low latency oracles for real-time position management, allowing traders to make more informed and timely decisions. This integration is crucial for providing accurate and immediate execution of trades, thereby enhancing the overall efficiency and responsiveness of the platform. **Conclusion** The launch of CVI V4 represents a significant milestone in the development of crypto volatility trading platforms. By addressing key user concerns, introducing innovative features, and enhancing the overall trading experience, CVI V4 sets a new standard in the DeFi space. This upgrade reflects a deep understanding of market dynamics and trader needs, positioning CVI as a leader in the evolving landscape of crypto trading. # Hedged Theta Vault **Introduction** The Hedged Theta Vault is an innovative liquidity pool developed by CVI to enhance risk management and capital efficiency in the volatile cryptocurrency market. Building upon the foundation of the established Theta Vault from CVI V3, the Hedged Theta Vault introduces a new paradigm in liquidity management and exposure balancing for CVI. **Core Functionality** The Hedged Theta Vault operates by dynamically balancing long and short positions, effectively mitigating the one-sided exposure risk that is commonly associated with liquidity pools in DeFi platforms. This is achieved through a dual-structured system that combines the standard Theta Vault with an additional Inverse platform.

Hedged Theta Vault Structure

* **Theta Vault:** The Theta Vault component continues to function as it did in previous iterations, offering users a way to earn yield in USDC from the collected funding fees and trading activities within the CVI ecosystem. * **Inverse Platform:** This new element allows for the opening of leveraged short positions against the CVI. It acts as a counterbalance to the long positions held within the Theta Vault, thus ensuring a more stable and sustainable risk profile. **Mechanism of Risk Mitigation** The Hedged Theta Vault addresses the issue of imbalanced exposure by automatically adjusting its strategies in response to market conditions. For instance: * If a significant number of long positions are opened in the Theta Vault, thereby increasing the vault's exposure to downside risk, the Inverse platform activates to open corresponding short positions. This action helps in neutralizing the overall risk profile of the vault. * Conversely, if short positions dominate, the system adjusts to maintain equilibrium, ensuring that the vault's exposure is always optimally balanced. **Impact on Funding Rates** One of the significant advantages of the Hedged Theta Vault is its ability to maintain lower funding rates. Traditional methods to manage liquidity risk, such as caps on open interest or high funding rates, are no longer the primary tools. Instead, by using this innovative mechanism to balance exposure, the Hedged Theta Vault can offer more attractive funding rates, benefiting all participants in the ecosystem. **Operational Phases** Initially, the Inverse platform within the Hedged Theta Vault is available exclusively to market makers. This strategy ensures stability and reliability as the system scales. In subsequent phases, access to the Inverse platform is planned to be extended to all users, accompanied by a user-friendly interface for ease of interaction. # Ultra CVI & Leverage **Introduction** Ultra CVI (UCVI) and the enhanced leverage options represent pivotal advancements in CVI's V4 launch. These features significantly amplify the potential of volatility trading within the cryptocurrency market, offering traders more dynamic and flexible trading strategies. **Ultra CVI (UCVI) Explained** UCVI is an "stretched" version of the base Crypto Volatility Index (CVI), providing a threefold amplified reflection of the market's volatility. This means that any movement in the base CVI is reflected in UCVI with triple the intensity. Where CVI ranges between 0-200, Ultra CVI ranges between 0-660 The design of UCVI caters to traders seeking heightened exposure to market volatility. It's particularly appealing to those who wish to capitalize on larger and faster market movements. **Enhanced Leverage Options** With the introduction of V4, CVI now allows traders to borrow from the Theta Vault, enabling up to 16x leverage. This is a significant increase from previous versions, offering traders more potent tools to magnify their trading outcomes. When UCVI is combined with the 16x leverage option, it results in an effective leverage of approximately 48x relative to the base CVI index. This combination provides a highly potent trading instrument for experienced traders. While this high level of leverage can result in substantial profits, it also carries a corresponding level of risk. Traders are advised to fully understand and manage their risk exposure when engaging with these tools. **Application and Strategy** UCVI and the leverage options are designed for sophisticated traders who have a deep understanding of market volatility and risk management. These tools are most effective when used in strategic trading setups, particularly in markets exhibiting high volatility. Successful utilization of UCVI and leverage requires a keen analysis of market trends and volatility patterns. Traders need to be adept at interpreting signals that indicate potential market movements to optimize their positions. # Real-Time Position Management **Overview** Real-Time Position Management in CVI V4 introduces an innovative approach to managing on-chain trading positions on CVI. This feature leverages advanced Chainlink technology to provide traders with immediate and accurate data, enabling them to make informed decisions rapidly. **Integration of Chainlink's Low Latency Oracles** Chainlink's Low latency oracles are integrated to provide the most current and unsmoothed value of the Crypto Volatility Index (CVI). This integration ensures that traders receive up-to-the-second data for their trading activities. Whenever a trader performs an action (such as opening, closing, minting, burning, depositing, or withdrawing), the low latency oracle is queried to fetch the current value of CVI. This ensures immediate execution of trades based on the most recent data. **Trade Execution and Protection** Trades are executed instantly, taking the maximum or minimum value between the standard CVI and the unsmoothed CVI. This method ensures that traders are operating with the most favorable and current data. To safeguard against temporary deviations in the unsmoothed CVI, the system is designed to use both smoothed and unsmoothed values. This dual approach protects traders from anomalies and ensures a fair trading environment. **Execution Gap Metric** The 'Execution Gap' metric displays the difference between the smoothed CVI and the real-time, unsmoothed CVI value. It functions similarly to the price impact feature on platforms like Uniswap. Traders can achieve 0% slippage on their trades when the execution gap is at 0%. This happens during periods of market stability when the smoothed and unsmoothed CVI values are closely aligned. **Slippage Settings and Market Volatility** The slippage settings in CVI V4 are designed to adapt to market conditions. During periods of high volatility, the real-time CVI is more likely to deviate, resulting in a higher execution gap. Traders can manually adjust the max slippage cap to their desired percentage. This system incentivizes traders to make decisions before volatility spikes, reducing the likelihood of front-running and promoting fair trading practices. **Visibility and Transparency** Traders have access to real-time CVI values, both on the chart and the platform's front-end. This visibility ensures that CVI trading is more dynamic and responsive to market changes. The implementation of low latency oracles involves nominal keeper fees, which are significantly reduced on layer 2 networks. The upcoming EIP4844 will further lower these costs, maintaining efficiency and affordability. # Integrated Bridge & Swap Function **Introduction** The Integrated Bridge and Swap Function in CVI V4 is designed to streamline the user experience by providing a seamless and efficient way to transfer and convert assets across different blockchain networks. This functionality addresses the need for easy accessibility and management of funds within the CVI ecosystem. **Collaboration with Socket.Tech** CVI has partnered with Socket.Tech, a leading provider of cross-chain infrastructure, to implement this feature. This collaboration ensures a robust and reliable bridge and swap service within the CVI platform. The primary aim is to facilitate direct multichain access for users, allowing them to easily move and convert their funds for trading on CVI. The integration is designed to be user-friendly, accessible directly from the main trading page on CVI. This eliminates the need for users to navigate between different bridges and decentralized exchanges (DEXes) to manage their funds. **Transition from USDC.e to USDC** In CVI V3, USDC.e was the primary token for trades. However, with the launch of CVI V4, the platform has transitioned to using regular USDC. Users holding USDC.e can conveniently use the integrated swap button to convert their USDC.e to USDC, aligning with the new standard on the CVI platform. **Bridge Feature** For users with tokens on different networks, the bridge feature enables the transfer of these assets to the Arbitrum network, where CVI operates. This feature is crucial for users who wish to participate in CVI trading activities but have their funds on other blockchain networks. # Referral Program **Introduction** CVI's Referral Program is a feature introduced in V4, designed to incentivize and reward users for introducing new traders to the platform. This program is a strategic component of CVI's user engagement and growth strategy, encouraging wider participation and network expansion. **Mechanics of the Referral Program** Users can invite friends and acquaintances to trade on the CVI platform. Upon successful registration and commencement of trading by the referred individuals, the referrer begins to accrue rewards. New users joining through a referral link receive rebates on their trading fees, providing an immediate benefit for opting into the platform through the referral system. **Referral Tiers and Rewards** The Referral Program is structured into multiple tiers, with each tier offering different levels of rewards based on the trading volume generated by the referees (referred users). The reward mechanism is tied to the total fees generated by the referees' trading activities. * **Tier System:** The program is designed with several tiers, each with a threshold of trading volume generated by the referees. Higher tiers offer greater rewards. * **Reward Calculation:** A percentage of the trading fees generated by the referees is allocated as rewards to the referrer. This percentage varies depending on the tier. **Tiers** **Tier 1:** This tier provides a 5% discount for traders and rewards referrers with a 5% rebate. **Tier 2:** Affords traders a 10% discount and offers referrers a 10% rebate. **Tier 3:** At this level, traders enjoy a 15% discount, and referrers receive a 15% rebate. **Example of Reward Distribution** * **Scenario:** Suppose a referrer is at Tier 2, and their referees have generated 1 million USDC in trading volume. Assuming the total fees generated for the protocol are 0.14%, this results in 1400 USDC in fees. * **Referral Reward:** Based on the tier system, the referrer earns a certain percentage of these fees. For instance, the reward at Tier 2 is 10%, the referrer would earn 140 USDC. **Advantages of the Referral Program** * **Community Building:** This program fosters a sense of community and encourages existing users to contribute actively to the platform's growth. * **Incentivized Participation:** By offering tangible rewards, the program incentivizes users to promote CVI, increasing platform visibility and user base. * **Mutual Benefits:** Both referrers and referees benefit from the program, with referrers earning rewards and referees receiving fee rebates. # Improved UI & UX **Overview** The user interface (UI) in CVI V4 represents a significant evolution in design, focusing on user-friendliness, functionality, and efficiency. A well-designed UI is crucial in DeFi platforms to ensure users can navigate and utilize features effectively, particularly in complex trading environments. **Key Aspects of the UI** The interface is designed to be intuitive, allowing users, regardless of their experience level, to easily find and use the various features of CVI V4. Key information, such as market data, portfolio status, and trading options, is presented clearly and accessibly, facilitating informed decision-making. **Enhanced User Experience (UX) Elements** * **Real-Time Data Display:** The platform ensures real-time presentation of critical data, including market indicators and personal trading positions, enabling users to react promptly to market changes. * **Responsive Design:** The UI is responsive, catering to various devices and screen sizes, ensuring a seamless experience across desktops, tablets, and smartphones. **Educational Resources Integration** * **In-Platform Guidance:** CVI V4 integrates educational resources and tooltips within the UI, offering users immediate contextual assistance and explanations of various features and terms. * **Learning and Support:** The platform provides access to a comprehensive knowledge base and user guides, fostering a supportive learning environment for new users. **Trading and Management Tools** The platform offers a range of tools for sophisticated trading strategies, including detailed charting, historical data analysis, and custom alert settings. Users can efficiently manage their portfolios, with features enabling easy tracking of positions, balances, and transaction history. **User Feedback** CVI actively seeks user feedback on the UI and UX, using this input to make iterative improvements and updates. The platform maintains an open channel of communication with its user community, fostering a collaborative approach to UI development. # Execution gap CVI v4 now supports opening/closing positions in near real-time (several seconds) via a new position execution logic. Instead of using the CVI oracle value as the sole price for settling trades, a secondary oracle is used in parallel to fetch the raw real-time CVI value. A combination of the two values is used to safely and reliable execute trades in real-time, while preventing front-running the CVI oracle.\ \ The CVI oracle value is computed by Chainlink's decentralised oracle network and includes an adaptive exponential moving average in order to increase its reliability. \ In parallel to it, the raw cvi value is updated in real-time and is pulled on-demand whenever a trader executes a trade.\ \ The execution logic works as follows:\ \ Price for opening a position = Max(CVI Oracle value, Raw CVI value)\ Price for closing a position = Min(CVI Oracle value, Raw CVI value)\ \ Execution gap = Math.abs(1 - CVI Oracle value / Raw CVI Value)
# Volatility Tokens CVI's Volatility tokens $CVI and $UCVI are a new Defi Primitive, adding a much sought-after innovation to Defi. By buying and selling Volatility Tokens, traders can easily trade volatility on DEXs and even CEXs, making the Crypto Volatility Index (CVI) much more composable and accessible to the greater DeFi ecosystem. The main difference between trading volatility in the platform and with the volatility tokens is that while the CVI platform is account-based, meaning each Long position is tied to a specific address similarly to most other DeFi protocols. The volatility tokens are tokenized long positions that can now be used as a lego piece inside other DeFi protocols. Users will be able to generate more yield on them, easily access them on Dexes and generate revenue by arbitraging. ## Key ingredients of the Volatility Tokens: 1. **Peg to the index via the CVI platform**\ \ The CVI platform is in essence an AMM (Automatic Market Marker) that constantly sells volatility, while the volatility tokens represent a share in a shared pool of a LONG position. Whenever a token (either CVI or UCVI) goes off-peg with its respective volatility index, an arbitrage opportunity is created. This allows the volatility tokens to be freely traded, while always remaining pegged to the index (Whenever a deviation from intrinsic value occurs, an arbitrage opportunity incentives a quick return to peg)
2. **Full hedge and delta exposure to its respective index**\ \ A common usage of the tradfi volatilty ETFs is for hedging and as such, it is a key requirement that the tokens are designed to work as a hedging tool. In order for the tokens to serve as a full hedge they must fulfill two requirements:\ \ **Requirement 1**: Fully backed by counterparty liquidity. This means that if CVI goes to its maximum value of 200, the tokens can be fully redeemed with no exceptions.\ \ In order to create an always-available source of counterparty liquidity which fulfills this goal, the CVI is built around an AMM. The AMM allows liquidity providers to deposit collateral, which is used as counterparty for the volatility tokens. As the volatility tokens represent a long position on the index, the AMM ensures that at all times there is enough counterparty liquidity to cover the scenario of CVI going to its maximum value of 200.\ \ *Liquidity(t) =( 200 / CVI(t) - 1) \* CVITotalSupply(t)*\ \ The architecture of having volatility tokens on one side and an AMM which sells volatility on the other side allows the tokens to be used as full hedge, as there is always an available source of liquidity to cover profits from a rise in CVI.\ \ \ **Requirement 2**: Maintain exposure of 100% (or higher in case of leverage). A key aspect of this requirement is that as CVI goes up, there will not exist a mechanism which incentivizes closing the position, such as asymmetrical gains. For example, given that the CVI spiked from 80 to 120, excluding time decay, CVI token holders would have a 50% profit, while given that it moved to 160, excluding time decay, CVI token holders would have a profit of 100%. \ \ *P\&L(t) = (CVI(t) - CVI(t0)) / CVI(t0) \* CVIBuyAmount*
3. **Accounting for time decay**\ \ As the CVI is range bound \[0,200] and is mean reverting, we can observe that any token which is pegged to it would have to incur a mechanism for time decay. Without such a mechanism, it would be possible to mint/swap into the token at values below mean and hold it indefinitely until profit.\ \ To account for time decay, the volatility tokens are built as a unified long position on the index, which pays a funding fee over time. However, this has a repercussion that if the tokens were regular ERC20 tokens, then due to arbitrage between DEXs and the CVI AMM their price on DEXs would over time decline in value, preventing them from keeping peg with the CVI index, thus losing semantic meaning.\ \ In order to address this issue, the volatility tokens implement the ElasticToken interface, pioneered by the Ampleforth project. The elasticity allows the tokens to be negatively rebased, thus holding them over periods of time results in having less tokens in the holder’s wallet. This trait allows the tokens to keep their peg with the CVI index, while accounting for time decay.\ \ The rebase mechanism runs fully decentralized with the usage of Chainlink keepers, which activate it every day at midnight UTC. It’s important to note that the rebase action is purely semantic, there is no added benefit to selling/buying the tokens before or after the rebase occurs. Without the rebase, an arbitrage between the DEX and AMM would have caused the token price to depreciate in value, thus losing peg, while the rebase instead lowers the token supply which allows keeping the peg. \ \ In the event there was no arbitrage between the DEX and the AMM, the result of the rebase operations would be a token price higher than its intrinsic price on the AMM. Overall, the peg is kept by the combination of allowing arbitrage to flow between the DEX and AMM, in combination with the daily rebases. The following table summarizes the effect of both arbitrage and the rebase operations:
## **The Platform Currently Supports Two Volatility Tokens:** **CVI (Range bound 0-200):** it’s the first volatility token in the market that is pegged to the implied volatility of both, Ethereum and Bitcoin, by being pegged to the CVI index. CVI can be traded in the Arbitrum network on SushiSwap and Polygon network on QuickSwap . By buying the token on a DEX, the user holds a LONG position on the CVI index**.** The CVI Pool on QuickSwap can be found [here](https://info.quickswap.exchange/#/pair/0x1dd0095a169e8398448A8e72f15A1868d99D9348). ![CVI Icon ](/files/rdZ0HTBdHvtJ9zLlEcsQ) **UCVI (Ultra CVI - A 3x stretched version of CVI. Range bound 0-660):** After achieving the new CVI V3 design goals with the creation of the Theta Vault, which will allow a sustainable and scalable source of liquidity for the CVI volatility tokens on any secondary market and decentralized exchange, we introduced Ultra CVI (UCVI), the leveraged token for the CVI index. # Volatility Tokens Technology Rebase Mechanism, and Funding Fees ## Rebase Rebasing, also known as "supply smoothing**"** means adjusting the token supply so the token value will be pegged to the CVI index. This means, the volatility tokens are elastic tokens and use the rebase mechanism, to deduct the funding fees and keep them pegged to the index. The rebasing of the token is performed every day at 00:00 UTC. The action is performed automatically by utilizing[ Chainlink Keepers](https://docs.chain.link/docs/chainlink-keepers/introduction/). Chainlink keepers allow for the automation of smart contracts actions using a chain of reliable node operators in a decentralized way. ![](/files/nAg1KxFJLkx3PBU3CL0g) First, the rebase mechanism queries the Chainlink oracle to get the latest CVI value, which is the target value of the rebase operation, $$target\_value$$. A rebase lag is applied in order to ease supply changes, and depends on the amount the position value has deviated from the CVI. The $$rebase\_threshold$$, currently set to 0.05, essentially limits the supply change of a single rebase operation to 5%. A rebase lag of 2, for example, implies that the target value is supposed to be met within approximately two rebase operations, assuming the position and target values are fixed. The target value and the volatility tokens position value are used to calculate the $$deviation$$, which is the absolute value of the difference between both values, adjusted by the $$rebase\_lag$$: $$ rebase\_lag=\left\lceil \frac{|position\_value-target\_value|}{rebase\_threshold\cdot target\_value}\right\rceil $$ $$ deviation=\frac{|position\_value-target\_value|}{rebase\_lag} $$ As the rebase operation's target value is the index price, it decreases the supply, thereby rising the token price to match the index. This allows for the collection of funding fee over time, while remaining peg to the index. ## **Funding fee** The funding fee is the fee paid by the traders or users who mint volatility tokens, to the liquidity providers as compensation for taking the risks. The funding fee is calculated according to the CVI Index value over time (per hour). Basically, the higher the CVI value, the lower the funding fee percentage. The funding fee rate is updated according to new values of the CVI Index. Below is the graph that shows the funding fee percentage according to the CVI index value: ![](/files/CRRK89RxdT6F8GbZJsyA) # Volatility Tokens Usability CVI offers two funnels to trade volatility: the first one is on the platform where you can Mint/Burn CVI tokens, there is no price impact, and is characterized by low slippage. When a user wants to Mint/Burn a token, the user will have to wait for the “Receive in” time to elapse. The second funnel to trade volatility is through DEXs, trading on DEXs is characterized by regular slippage and price impact, while the fulfillment of the token is immediate. The question is, Which funnel should be used and when? * If a user is of the opinion that volatility will rise in the next few days and the index will spike at some point, the user can mint it on the platform and wait for the right moment to burn/swap * If a user predicts that there is going to be an immediate spike in volatility and doesn’t want to wait for the fulfillment time to elapse, the user should buy CVI on the DEX and Burn/sell it at the right time. * If a user plans to buy a large amount of CVI but doesn't want to lose money due to price impact or slippage. The user can utilize the platform to Mint the tokens for low slippage and no price impact. ## Arbitrageurs Playground As the volatility tokens can be traded in both the CVI platform and Dexes such as SushiSwap, it creates a unique and incredible landscape for arbitrageurs to constantly build different strategies and profit from the price difference between both markets. This incentivizes the market to self-adjust while keeping the tokens pegged to the index. In other words, the arbitrageur's role is to close the temporary differences between the Volatility tokens’ values in the primary and secondary markets, and profit while doing so by keeping the difference in value between both markets.
### As shown in the image above, the main arbitrage opportunities in our Ecosystem are: * **If the price of the volatility token is higher on the CVI platform**, an arbitrager can purchase the volatility token with USDC at a lower price on Uniswap, go to the CVI platform and burn the tokens to gain more USDC than the amount he had prior to the process. * **If the price of the volatility token is lower on the CVI platform**, an arbitrager can mint the volatility tokens (by paying USDC), followed by selling the tokens on Uniswap to gain more USDC than the amount he had prior to the process. These arbitrage opportunities will ensure the price of the Volatility Token on the secondary market is closely tied with the one on the primary platform, thus reflecting the relevant CVI Index. In addition, arbitrage-related operations on the main platform (mint \ burn) will result in an increase of collected fees distributed to GOVI stakers in the platform. # Theta Vault Scalable source of liquidity for the volatility tokens Theta is the change in an instrument's value with the passage of time, all other factors staying constant. As the volatility tokens charge time decay fees and are exposed to Theta, they are designed to be held only for limited amounts of time. However, in order for tokens to have a sustainable source of liquidity on DEXs, there has to be a mechanism which allows them to be paired in a liquidity pool without accounting for time decay. Without such a mechanism it would not make sense for a liquidity provider to add liquidity for such a pool for long periods of time. Completing this design goal was the key element in CVI v3 with the introduction of the Theta vault, which was built on top of the CVI AMM. The underlying architecture of the vault relies on the following key points: * The vault is the only gateway for adding and removing liquidity from the CVI AMM * It utilizes liquidity by depositing it as collateral to the CVI AMM vis-a-vis minting/burning volatility tokens and placing them on DEXs * As the vault owns both the AMM liquidity and the DEX liquidity, it is the sole beneficiary of time decay fees, thus has no exposure to Theta for the DEX liquidity.This can allow the volatility tokens DEX liquidity to scale up. The mechanism for splitting the liquidity between the DEX and the AMM: Splitting the amount being deposited into the theta vault correctly between DEX liquidity and CVI AMM liquidity should hold these requirements: 1. The CVI AMM liquidity must be P% higher than the liquidity needed as collateral backing them, in order to reserve liquidity for additional minting of CVI tokens to be utilized by arbitrageurs (P to be a parameter, changeable based on market needs). 2. The vault may add liquidity to the DEX based on its spot price, only in situations where the intrinsic value of CVI in the AMM is close enough to the CVI price on the DEX, otherwise it opens up an arbitrage trade opportunity. To satisfy all requirements, we create the following 3 variables linear equation system and utilize its solution. The variables are the amount to add as CVI AMM liquidity, and the amount to mint CVI tokens along with the amount of USDC to add to the DEX liquidity. $$1) DepositAmount = a + b + c$$ $$2) (a+b) \* 100 = b \*200CVI(t) \* (100 + P)$$ $$3) b/IntrinsicCVIPrice= c/CVIDEXPrice$$ With the mechanism above, the vault creates a sustainable source of liquidity for the volatility tokens on DEXs. Overall the volatility tokens allow traders a similar experience to the leveraged volatility ETFs, while the theta vault operates as a structured product: receiving DEX swap fees, mint/burn fees, time decay fees from volatility token owners and P\&L from CVI index decrement as counterparty to the volatility tokens long position.
# Hedged Theta Vault (V4) **Overview** With an Annual Percentage Rate (APR) consistently ranging between 10-20%, the Theta Vault offers a reliable option for liquidity providers (LPs). However, the challenge of the original Theta Vault was the higher funding rates required to maintain open CVI positions , which, while necessary, posed limitations for scalability. **Transformation to the Hedged Theta Vault in CVI V4** With CVI V4, we introduced the Hedged Theta Vault, a significant evolution of the Theta Vault concept. This new mechanism maintains the foundational strengths of the original Theta Vault but addresses the issue of high funding rates through innovative risk management strategies. **Key Features of the Hedged Theta Vault** 1. **Balanced Exposure:** The Hedged Theta Vault ingeniously balances long and short exposure in the market. This equilibrium reduces the risks associated with one-sided market positions and consequently decreases the funding rates required for maintaining positions. 2. **Dynamic Liquidity Management:** The vault incorporates a dual-structured approach, consisting of the original Theta Vault and an added Inverse platform. This Inverse platform allows for the opening of leveraged short positions on CVI, thus offering a counterbalance to the long position risks. 3. **Adaptive Risk Mitigation:** In scenarios where the market experiences high volatility, the Hedged Theta Vault dynamically adjusts and adds liquidity to the Inverse platform. This addition ensures the vault's capacity to support larger positions without escalating its risk profile. 4. **Phased Access:** Initially, the Inverse platform is made available exclusively to market makers, with plans to extend access to all users, providing an intuitive and user-friendly interface for broader engagement. 5. **Lower Funding Rates:** With these enhancements, the Hedged Theta Vault can afford to offer lower funding rates while still supporting the leveraged volatility trading features of the platform. 6. **Impact on Total Value Locked (TVL):** The introduction of the Hedged Theta Vault is projected to substantially increase the TVL and overall platform yields, reinforcing CVI’s position in the DeFi space. In summary, the transformation from the Theta Vault in V3 to the Hedged Theta Vault in V4 exemplifies CVI's commitment to innovation and adaptive risk management, offering a more balanced and efficient trading environment for all participants in the ecosystem. # $GOVI Governance Token of the CVI Platform **Introduction to $GOVI Token** CVI, as a decentralized and open-source protocol, integrates a governance model that empowers its community. Central to this model is the $GOVI token, an ERC-20 token designed to facilitate decentralized governance and engagement within the CVI ecosystem. **Characteristics of $GOVI Token** The $GOVI token enables holders to participate in the decision-making processes, influencing the development and direction of the CVI network. Adhering to the ERC-20 standard ensures compatibility with the broad Ethereum ecosystem, fostering accessibility and interoperability. **Supply, Distribution, and Allocation of $GOVI** * **Fair Launch Principles:** CVI champions a fair launch approach, without pre-mined tokens, private sales, or allocations to venture capitalists and whales. This philosophy ensures equal footing for all participants from the outset. * **Total Supply Cap:** The total supply of $GOVI is fixed at 32 million tokens, with mechanisms in place to prevent any additional minting. * **Initial Distribution:** The initial allocation of $GOVI was via an airdrop to COTI native holders and liquidity providers in COTI-ETH pools on Uniswap, aligning with the platform's equitable distribution ethos.
**Availability and Accessibility of $GOVI** * **Decentralized Exchanges (DEXs):** $GOVI is accessible on various DEXs, including Uniswap on the Ethereum network, Sushiswap on Arbitrum, and Syncswap on zkSync, ensuring wide availability for decentralized trading. * **Centralized Exchanges (CEXs):** For users preferring centralized platforms, $GOVI is also listed on CEXs like Gate.io, broadening its reach and accessibility. # Real Yield **Objective and Approach** CVI aims to closely align the yield generation with the protocol's overall success and growth. This strategy involves a dynamic distribution of esGOVI emissions among key stakeholders: stakers, liquidity providers (LPs), and traders. The distribution is structured as follows: * **Stakers:** 60% of esGOVI emissions are allocated to those who stake their tokens in the protocol. * **Liquidity Providers:** 20% of esGOVI emissions are dedicated to LPs who contribute to the liquidity pools. * **Traders:** The remaining 20% of esGOVI emissions are distributed to active traders on the platform. **Milestones and Transition to Real Yield for GOVI Stakers** To ensure the sustainability and scalability of the yield model, CVI has established specific milestones. Real yield (in USDC) will be initiated upon achieving two out of the following four milestones: 1. **Theta Vault TVL:** Achieving a median 30-day Total Value Locked (TVL) in the Theta Vault exceeding $10 million. 2. **Trading Volume:** Reaching a median 30-day trading volume of more than $0.5 million. 3. **Yearly Fees to Staked GOVI Ratio:** Attaining a set ratio of yearly fees to staked GOVI, with the specific target ratio to be determined by community vote (options being 3%, 4%, 6%, 8%). 4. **Leveraged CVI Token and Hedging Vault Launch:** Successfully launching the leveraged CVI token ($UCVI) and integrating the Hedging Vault, with a 60-day period of active protection following the launch. **Fee Allocation and Real Yield Reward** Upon meeting two of the specified milestones, CVI will implement the following fee allocation strategy: * **Growth and Development:** 15% of the collected fees will be earmarked for the continuous growth and development of the CVI platform. * **Real Yield Rewards:** The substantial portion, amounting to 85%, will be allocated as real yield rewards to GOVI stakers. In essence, this structured approach to yield distribution is designed to ensure that the rewards are reflective of the platform's performance and growth, fostering a sustainable ecosystem that benefits all participants. # Staking CVI Rewards are a great way for long term GOVI holders and platform users to benefit from rewards, paid in the form of Escrowed GOVI. ## General The rewards are given to Liquidity Providers on the CVI platform as well as to anyone holding the GOVI token. One is rewarded for being a long term believer in the CVI project. ## Escrowed GOVI NOTE: By definition, Escrowed GOVI (esGOVI) tokens are untransferable. If you attempt transferring them, transaction would fail. Please do not attempt to buy Escrowed GOVI (esGOVI) off the market or from an OTC desk or OTC deal as you will not be able to vest them. Escrowed GOVI (esGOVI) can be used in two ways: 1. Staked for rewards similar to regular GOVI tokens. 2. Vested to become actual GOVI tokens over a period of one year. Each staked Escrowed GOVI token will earn the same amount of Escrowed GOVI rewards as a regular GOVI token. ## Compounding vs Claiming Compounding will stake your Escrowed GOVI rewards, this will increase the amount of rewards you receive. Claiming will transfer any pending Escrowed GOVI (esGOVI) rewards to your wallet. If you compound or stake your Escrowed GOVI tokens, you can un-stake them for vesting at anytime you choose to. ## Vesting Vesting is the process that let's you convert Escrowed GOVI (esGOVI) back to GOVI over time. Either esGOVI that was received via staking of GOVI or via staking of LP tokens, i.e: Theta Vault (T-CVI-LP). Vesting is available on our new Tokenomics page, just below the Staking boxes. After initiating a vesting action, the vested Escrowed GOVI (esGOVI) tokens will be converted into GOVI every block and will be fully vested over 365 days according to the stated APY on the Tokenomics page. Escrowed GOVI (esGOVI) tokens that have been converted into GOVI are claimable at anytime. Note that in case a user staked GOVI, claimed the Escrowed GOVI (esGOVI) tokens he had received and vested them, but for some reason un-staked the original GOVI tokens to either sell or transfer them, he would be able to buy the GOVI back and stake them for the Escrowed GOVI (esGOVI) to work (meaning: esGOVI tokens are not directly tied to the GOVI tokens staked). ## Distribution Rate Escrowed GOVI (esGOVI) will be distributed to staked GOVI and staked Theta Vault (T-CVI-LP) tokens according to the schedule that is subject to changes. Reward rates will be evaluated each month and any modifications will be announced at least 7 days in advance before being implemented. Rewards are distributed every second to staked tokens. ## Rewards Summary A summary of rewards and mechanics: * GOVI: earns Escrowed GOVI (esGOVI) when staked. * Escrowed GOVI (esGOVI): earns Escrowed GOVI (esGOVI) when staked. * T-CVI-LP: earns Escrowed GOVI (esGOVI). Rewards is a great way to take part in the CVI ecosystem. If you believe in the project long term, participating in the new Tokenomics by locking up your tokens for rewards - will be beneficial for the long term. # Platform Fees **Transaction Fees for Opening and Closing Positions** Within the CVI and UCVI platforms, traders incur a fixed fee for each transaction, applicable to both opening and closing positions. The heightened fees for UCVI reflect its amplified profit potential, as UCVI grants roughly threefold the exposure compared to CVI. These transaction fees are instrumental in generating real yield for GOVI stakers. * **CVI Open Fee**: 0.14% * **UCVI Open Fee**: 0.35% * **CVI Close Fee**: 0.14% * **UCVI Close Fee**: 0.35% *** **Funding Fee Dynamics** Funding fees, calculated hourly based on the CVI Index value, are allocated to Theta Vault liquidity providers. A noteworthy aspect of this mechanism is the inverse correlation between the CVI value and the funding fee percentage; a higher CVI value corresponds to a lower funding fee percentage. Adjustments to the funding fee rate are responsive to CVI Index value fluctuations and the utilization ratio.

Funding Fee Graph

*** **Buy Premium Fee Structure** To strike a harmonious balance between the interests of traders and Theta Vault liquidity providers, we've instituted a buy premium fee model. This approach not only aligns with our goal of maintaining a balanced ecosystem but also enables an additional yield source for the Theta Vault LPs. For **CVI**: * **0-10% Utilization**: 0% premium * **10%-20% Utilization**: 0.3% premium * **>20% Utilization**: 0.5% premium For **UCVI**: * **0-10% Utilization**: 0% premium * **10%-20% Utilization**: 0.75% premium * **>20% Utilization**: 1.25% premium *** **Withdrawal Fee for Theta Vault** In addition to the structured transaction and premium fees, a withdrawal fee of 0.1% is applied to all withdrawals from the Theta Vault. This fee is an essential component of our strategy to encourage long-term liquidity provision within the vault, thereby ensuring a stable and efficient ecosystem for our users. *** These fee structures are meticulously designed to promote a sustainable trading environment, rewarding both active traders and passive income seekers within our ecosystem. # Contracts (Arbitrum Chain) **Contracts github repo:** #### CVI Platform (USDC as collateral) Platform: 0xCeF38D86C40522A2b58d82b658c194A9Eb340091 FeesCalculator: 0xd5F468E5769BFcA313646070C18A267DA42d9F4E Liquidation: 0xDA8D0386e91b2334b23C043978383a91728A68Eb #### Volatility Tokens: CVI Token: 0x8096aD3107715747361acefE685943bFB427C722 CVI-USDC Pair: 0xeDE0CE8cdc65bcF6422f3Afb9d7cDb3e59C09658 CVI-USDC Vol Token Request Fulfiller: 0x3ce3886cb8FE17940FBABFBF727e32f38e2b991C CVI Rebaser: 0x31cd9fa35f0A1F6bDDEbe5A6ad5F46b2f0f24E4b
**Theta vault:** CVI-USDC Theta Vault: 0xFDeB59a2B4891ea17610EE38665249acC9FCC506 Theta Vault Request Fulfiller: 0x0f2962C9188D7852a8bDeB288ab95e5a575C641F Keepers Fee Vault: 0x4e20637dc4497AFda5a5e1C7812e75cb14FE2375 \ **GOVI:** GOVI Token: 0x07e49d5de43dda6162fa28d24d5935c151875283 GOVI-USDC Pair (SushiSwap): 0xC73d2191A1dD0a99B377272899A5569eD83f8cd8 **Community Treasury addresses:**\ \ Treasury multisig: 0x7F4b135782C4A3B1c78c93f23f2016Cb5CD96cC8\ \ Protocol Bonding multisig: 0x223013bD8b4569628D50eE106cCbA93189A02aDa # Contracts (Previous version -Ethereum Mainnet) **Contracts github repo:** #### CVI Platform (USDC as collateral): Platform: [0x2167EEFB9ECB52fB6fCf1ff8f7dAe6F0121F4fBC](https://etherscan.io/address/0x2167EEFB9ECB52fB6fCf1ff8f7dAe6F0121F4fBC) LP Staking: [0x717508A974CCa423343D8C2A71d257f799ac4dbD](https://etherscan.io/address/0x717508A974CCa423343D8C2A71d257f799ac4dbD) Position Rewards: [0x337F91f5A3F688445d2F29496F33f75eC1b93728](https://etherscan.io/address/0x337F91f5A3F688445d2F29496F33f75eC1b93728) FeesCalculator: [0xc19cDD1b4e7C12Edfbfbd12C9cf4cd1CDE29e70D](https://etherscan.io/address/0xc19cDD1b4e7C12Edfbfbd12C9cf4cd1CDE29e70D) Liquidation: [0xf359e1bD63c3308B77D6424A6dC9BFc78BB64922](https://etherscan.io/address/0xf359e1bD63c3308B77D6424A6dC9BFc78BB64922) #### ETHVI Platform (USDC as collateral): Platform: [0x0E0DA40101D8f6eB1b1d6b0215327e8452e0Bc60](https://etherscan.io/address/0x0E0DA40101D8f6eB1b1d6b0215327e8452e0Bc60) LP Staking: [0x55Ab074cFB5d07Bbb5D1561969A079914DF5053a](https://etherscan.io/address/0x55Ab074cFB5d07Bbb5D1561969A079914DF5053a) Position Rewards: [0x9AD0E2cae661Eab5CB42f23D7BE66352fcB0219D](https://etherscan.io/address/0x9AD0E2cae661Eab5CB42f23D7BE66352fcB0219D) FeesCalculator: [0x78852f82632da2F00d931F9465d7162d1Ed8B93C](https://etherscan.io/address/0x78852f82632da2F00d931F9465d7162d1Ed8B93C) Liquidation: [0xf9057e3189a357422933535D8022A25412B31f8C](https://etherscan.io/address/0xf9057e3189a357422933535D8022A25412B31f8C) #### CVI ETH-Denominated Platform (ETH as collateral) ETH Platform: [0x5005e8Dc0033E78AF80cfc8d10f5163f2FcF0E79](https://etherscan.io/address/0x5005e8Dc0033E78AF80cfc8d10f5163f2FcF0E79) ETH LP Staking: [0x40d203332b0A262F1a371ae9dA1788fe6825A6F6](https://etherscan.io/address/0x40d203332b0A262F1a371ae9dA1788fe6825A6F6) FeesCalculator: [0x05bA528F40FeB3347f14AF3Bb6D97Bf4826cd94f](https://etherscan.io/address/0x05bA528F40FeB3347f14AF3Bb6D97Bf4826cd94f) Position Rewards: [0xd5c0A6094f005D75b6E99a3DA8d0B80127027C99](https://etherscan.io/address/0xd5c0A6094f005D75b6E99a3DA8d0B80127027C99) Liquidation: [0x8d55c22ea6610e3fa4659d3d5f4d751ca1e62573](https://etherscan.io/address/0x8d55c22ea6610e3fa4659d3d5f4d751ca1e62573) Staking Proxy: [0x287839632973f7754C04a9E23d393Aa09fa5b6De](https://etherscan.io/address/0x287839632973f7754C04a9E23d393Aa09fa5b6De)
**Staking Rewards:** GOVI-ETH Staking Rewards: [0x936Dd3112a9D39Af39aDdA798503D9E7E7975Fb7](https://etherscan.io/address/0x936Dd3112a9D39Af39aDdA798503D9E7E7975Fb7) COTI-ETH Staking Rewards: [0xe6e5220291CF78b6D93bd1d08D746ABbC115C64b](https://etherscan.io/address/0xe6e5220291CF78b6D93bd1d08D746ABbC115C64b)
**Volatility tokens**: ETHVOL Token: [0x36bab6b3b722f90475b8e681b4b0a4dc68ee5399](https://etherscan.io/address/0x36bab6b3b722f90475b8e681b4b0a4dc68ee5399) ETHVOL-USDC Pair: [0x197e99bD87F98DFde461afE3F706dE36c9635a5D](https://v2.info.uniswap.org/pair/0x197e99bD87F98DFde461afE3F706dE36c9635a5D) ETHVOL-USDC LP Staking: [0x967440F87132008184C25b9c385860E908DF1a6D](https://etherscan.io/address/0x967440F87132008184C25b9c385860E908DF1a6D) ETHVOL Rebaser: [0x284C036D52C4fD52af1cedEEA5EFc9160587133B](https://etherscan.io/address/0x284C036D52C4fD52af1cedEEA5EFc9160587133B)
**Governance Token:** GOVI Token: [0xeeaa40b28a2d1b0b08f6f97bb1dd4b75316c6107](https://etherscan.io/address/0xeeaa40b28a2d1b0b08f6f97bb1dd4b75316c6107)
**GOVI:** GOVI Staking V1 (Ethereum): [0xDb3130952eD9b5fa7108deDAAA921ae8f59beaCb](https://etherscan.io/address/0xDb3130952eD9b5fa7108deDAAA921ae8f59beaCb) GOVI-ETH (Uniswap): [0x1ee312a6d5fe7b4b8c25f0a32fca6391209ebebf](https://v2.info.uniswap.org/pair/0x1ee312a6d5fe7b4b8c25f0a32fca6391209ebebf) #### Ethereum accounts: Deployer Address: [0xCedAD8C0Ae5e0a878c01cC8c81E0Ca2DbA909deD](https://etherscan.io/address/0xCedAD8C0Ae5e0a878c01cC8c81E0Ca2DbA909deD) Liquidity mining conduit address: [0x93337CCE0F3f2E3236772859609D1BDcAEb8F5A9](https://etherscan.io/address/0x93337CCE0F3f2E3236772859609D1BDcAEb8F5A9) Dev fund address: [0x773378dc0c9007181Ab5bDc61ac750fF69bFDA1F](https://etherscan.io/address/0x773378dc0c9007181Ab5bDc61ac750fF69bFDA1F) # Contracts (Previous version - Polygon Chain) **Contracts github repo:** #### CVI Platform (USDC as collateral) Platform: [0x3863D0C9b7552cD0d0dE99fe9f08a32fED6ab72f](https://polygonscan.com/address/0x3863D0C9b7552cD0d0dE99fe9f08a32fED6ab72f) LP Staking: [0xd53f9D95a87896E3543251aCb3fb13D3d4D7D09e](https://polygonscan.com/address/0xd53f9D95a87896E3543251aCb3fb13D3d4D7D09e) Rewards: [0xf293873CA668Ef7F1412C46c2C2c682Fd3441c02](https://polygonscan.com/address/0xf293873CA668Ef7F1412C46c2C2c682Fd3441c02) FeesCalculator: [0x68E8be77f3EB29074A83aE01007fA71cB5Cc5926](https://polygonscan.com/address/0x68E8be77f3EB29074A83aE01007fA71cB5Cc5926) Liquidation: [0x02DEb6E484c12916ABf245d5518f5315e1291555](https://polygonscan.com/address/0x02DEb6E484c12916ABf245d5518f5315e1291555) #### Volatility Tokens: CVI Token: [0x9cd552551ec130b50c1421649c8d11e76ac821e1](https://polygonscan.com/address/0x9cd552551ec130b50c1421649c8d11e76ac821e1) CVI-USDC Pair: [0x1dd0095a169e8398448A8e72f15A1868d99D9348](https://info.quickswap.exchange/pair/0x1dd0095a169e8398448A8e72f15A1868d99D9348) CVI-USDC LP Staking: [0xEA7b8DC5615e049417C80C795eA652556971c423](https://polygonscan.com/address/0xEA7b8DC5615e049417C80C795eA652556971c423) CVI Rebaser: [0x9bE0B60D6CCeFF2f9D15A2D9f1EA16BCcB2b7427](https://polygonscan.com/address/0x9bE0B60D6CCeFF2f9D15A2D9f1EA16BCcB2b7427)\ \ **GOVI:**\ \ Staking: [0x399b649002277d7a3502C9Af65DE71686F356f33](https://polygonscan.com/address/0x399b649002277d7a3502C9Af65DE71686F356f33) GOVI-ETH Pair (Quickswap): [0x1dab41a0e410c25857f0f49b2244cd089ab88de6](https://info.quickswap.exchange/#/pair/0x1dab41a0e410c25857f0f49b2244cd089ab88de6) # Audits CVI's code was audited in two different occasions by Certik and Packshield. CERTIK USDT Audit, January 6th, 2021: CERTIK ETH Audit, March 29th, 2021: Solidity.Finance Audit: Zokyo Audit, November 30th, 2023: # CVI Platform Tutorial # CVI Whitepaper [ https://cvi.finance/files/cvi-white-paper.pdf](< https://cvi.finance/files/cvi-white-paper.pdf>) # CVI V3 Litepaper