Ribbon Finance

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Ribbon Finance is a protocol that helps users access crypto structured products for DeFi. It combines options, futures, and fixed income to improve a portfolio's risk-return profile.

Core Products

Theta Vault

Theta Vault, is a yield-focused strategy on ETH and WBTC. The vault earns yield on its deposits by running a weekly automated options selling strategy. The vault reinvests the yield earned back into the strategy, effectively compounding the yields for depositors over time.

The Theta Vaults run two options strategies to generate yields:

  • Covered call - Vault writes  out of the money covered calls.
  • Put selling - Vault writes  out of the money puts.

Theta Vault Yearn

Currently, funds held in Theta Vaults do not generate any yield, aside from writing options. Every Friday, the vault converts 100% of its USDC balance into yvUSDC by depositing USDC into the Yearn USDC yVault. This helps depositors gain exposure to the yield generated from Yearn on top of the options strategy.