Architecture Overview
Last updated
Last updated
The basis strategy smart contract system is designed to execute a strategy that buys assets in spot markets and hedges these positions by selling perpetual contracts. This approach offsets market exposure and generates revenue from funding payments on perpetual contracts. The system includes four main components:
LogarithmVault - Manages user deposits and withdrawals and approves the strategy to access its funds.
BasisStrategy - Implements the basis strategy by orchestrating trades between SpotManager
and HedgeManager
.
SpotManager - Handles trading in spot markets (e.g., Uniswap).
HedgeManager - Manages perpetual positions on protocols like GMX to offset spot exposure.