V4: Public Beta
Today we’re thrilled to open access to CAP V4 Beta to the public! V4 redefines decentralized perps and we think you’re gonna love it.
Benefits
V4 brings a whole range of new features to DeFi for the first time ever.
Self Custody
V4 is actually decentralized. It does not rely on any team-controlled infrastructure. That means you can access and interact with it openly, directly from your wallet. Your funds always remain in your custody.
Submitted orders are executed directly on-chain by keepers that anyone can run. Prices are sourced, signed, and verified through Pyth Network and bound by Chainlink. The user interface is hosted on globally available CDNs with mirrors on IPFS.
Superior Order Execution
V4 offers low fees and zero slippage, giving you the best possible prices for your orders. Additionally, since keepers are paid every time they execute an order successfully, they compete with each other to pick up your order as quickly as possible, resulting in super fast order execution.
Risk Management
V4 supports advanced order types that let you manage your risk, whatever your trading strategy may be. You can place market, limit, stop, take-profit, stop-loss, reduce-only, price-protected, OCO, and expiring orders.
V4 also supports adjustable leverage. Since it runs an isolated margin system, you can fine tune leverage on every order you submit, as well as add margin to or remove margin from existing positions.
Isolated Collateral
You can choose which collateral to use (ETH or USDC) on every order you submit. Profit is paid in the same collateral regardless of your position’s direction. You can open ETH-collateralized shorts and longs or USDC-collateralized longs and shorts.
For example, you open a 100K USDC long on GBP/USD. Price goes up 1%, you make 1K USDC. Price drops 1%, you lose 1K USDC.
Intuitive Interface
CAP Labs designed the V4 trading UI from the ground up to cater to traders. Get access to real-time prices, charting, risk management tools, and more at speeds never before seen in decentralized finance.
Positive Funding
V4 supports dynamic funding, so you can get paid simply for keeping a position open. If long open interest exceeds short open interest, short positions get paid, and vice versa. Dynamic funding also helps balance the books and reduce overall platform risk for all participants.
Wide Range of Markets
Volatility is opportunity and it’s not limited to crypto. V4 offers 20+ markets (with more on the way), spanning crypto, forex, indices, and metals. This lets you capitalize on global events and diversify your trading profile, all while using crypto as collateral.
How It Works
We’ve been working on V4 for some time now and we’re proud of the many innovations it brings to DeFi for the first time ever.
V4 meets the litmus test of being entirely trustless, meaning if the CAP team disappears, the protocol will continue running forever without issues and everyone’s funds would be redeemable. Getting there required a tremendous amount of work around order execution, market making, front running, liquidity incentives, and more.
The central component of V4 is order execution, which is done by keepers. Anyone can run a keeper, and keepers get paid a fee for every order they successfully execute. Keepers detect incoming orders and submit a signed and verified Pyth Network price to the contracts.
The contracts then verify the recency of the price, bound it with Chainlink prices when available for extra security, and run a series of other checks to verify its authenticity and mitigate front-running.
What’s Next
CAP is currently in public beta. It is not yet audited or thoroughly tested. The next step is to get the contracts and systems audited and ready for a full release for the general public.
We would love to hear your feedback about V4. Join us on Discord!
CAP Labs will continue maintaining and developing products around V4. We want to thank everyone who’s part of the incredible community, many of whom have been with us since the beginning.
We hope you’ll enjoy using V4 as much as we enjoyed building it. And as always: thanks for your support!
— CAP Labs Team
