♨️Multi Collateral
Multicollateral allows traders to deposit assets such as ETH and tBTC. Traders can leverage the USD value of these asset types without losing exposure, and settle trades in USDx.
Collateral Types
USDx: USDx is the system’s native stablecoin, and all orders on Kwenta are settled in USDx, regardless of which collateral the trader uses. USDx is backed by Synthetix v3 collateral on Arbitrum, and USDe liquidity is used to provide additional liquidity and a reliable peg.
USDx on Arbitrum contract address: 0xb2F30A7C980f052f02563fb518dcc39e6bf38175
To learn more about USDx: What is USDx?
USDe: Ethena's synthetic dollar, USDe, provides the crypto-native, scalable solution for money achieved by delta-hedging Ethereum and Bitcoin collateral. USDe is fully-backed and free to compose throughout CeFi & DeFi.
To learn more about USDe: https://ethena-labs.gitbook.io/ethena-labs
tBTC: tBTC is a wrapped version of Bitcoin tradable on EVM chains. While the purpose of tBTC on Ethereum is similar to other wrapped assets and stablecoins, Threshold decentralizes the management and custody of the underlying BTC. An oracle is used to track the value of your tBTC deposit when opening trades and calculating maintenance margin.
To learn more about tBTC: https://blog.threshold.network/bridging-the-gap-the-basics-of-tbtc/
ETH/wETH: wETH is the wrapped erc20 version of ETH, and all ETH margin deposits are wrapped to allow them to function as collateral. ETH is, of course, the native asset of the Ethereum network and is liquid and well supported across EVM chains. An oracle is used to track the value of your ETH deposits when opening trades and calculating maintenance margin.
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