Aevo is a cutting-edge, order-book-based decentralized exchange (DEX) engineered for professional-grade options and derivatives trading. Built on a custom EVM rollup that scales efficiently while maintaining Ethereum-level security, Aevo delivers high-speed execution, deep liquidity, and capital-efficient trading tools. With support for over 100 instruments across daily, weekly, monthly, and quarterly expiries, Aevo caters to advanced traders seeking sophisticated financial products in a secure, transparent environment.
The platform’s infrastructure enables instant onboarding via USDC deposits from any EVM-compatible blockchain, eliminating friction for users across the Web3 ecosystem. Its robust margining system—featuring portfolio margining—allows traders to optimize capital usage across both options and perpetual futures within a single account, setting Aevo apart as one of the most capital-efficient platforms in DeFi.
👉 Discover how Aevo combines speed, security, and scalability for next-gen derivatives trading.
Ribbon Finance Merger: Unifying the Future of Options
On July 25, the Ribbon DAO approved RGP-33, a landmark governance proposal to merge Ribbon Finance into Aevo. The vote passed with overwhelming support, signaling strong alignment between token holders and development teams. This strategic integration marks a pivotal step toward consolidating decentralized options infrastructure under a unified, high-performance platform.
Key milestones include:
- Rebranding all Ribbon communication channels to Aevo by August 25.
- Phasing out the existing $RBN tokenomics system.
- Enabling penalty-free unlocking of veRBN ahead of a 1:1 swap with $AEVO.
A unified landing page launching in September will bring together Aevo and Ribbon’s product suites, allowing seamless migration. Users can swap $RBN for $AEVO without deadlines or restrictions. Community input will shape the new governance model and token incentives, ensuring decentralized control remains central to Aevo’s evolution.
This merger not only enhances technical capabilities but also strengthens ecosystem sustainability by aligning incentives and streamlining operations.
Aevo OTC: Institutional-Grade On-Chain Options
Aevo OTC introduces a permissionless platform for trading altcoin options with institutional liquidity providers. Utilizing a Request-for-Quote (RFQ) system and dynamic margining, it supports weekly, biweekly, and monthly options on 13 rotating altcoins—selected monthly based on market demand.
Key features include:
- On-chain collateralization: Option sellers must post USDC collateral directly on-chain, mitigating counterparty risk—a critical safeguard in the post-FTX era.
- Dynamic margin system: Liquidity providers maintain a 30% initial margin in USDC, with variation margins adjusted based on mark-to-market exposure.
- Trade size limits: Minimum notional volume of $10,000; up to $2.5 million for BTC and ETH options, $1 million for others.
In August 2023, Aevo introduced early unwind functionality, allowing users to exit OTC positions before expiry. This enables traders to realize gains from spot price movements or volatility shifts—offering flexibility previously unavailable in traditional options markets.
👉 Learn how Aevo OTC brings institutional-grade trading tools to decentralized finance.
Frequently Asked Questions
Q: What makes Aevo different from other DEXs?
A: Unlike most decentralized exchanges, Aevo combines order-book mechanics with deep liquidity and supports complex derivatives like options and perpetuals under a unified portfolio margin system—maximizing capital efficiency.
Q: Can I trade options on assets other than ETH and BTC?
A: Yes. Aevo OTC offers options on 13 altcoins that rotate monthly based on market popularity, giving users exposure to emerging digital assets.
Q: How does the $RBN to $AEVO token swap work?
A: Following the merger, $RBN holders can swap their tokens 1:1 for $AEVO without time limits or penalties. veRBN holders can unlock their tokens early in preparation for the transition.
Perpetual Futures: Seamless Integration with Options
Launched in May 2023, Aevo’s Perpetual Futures allow traders to take leveraged positions (up to 20x) on ETH and other major cryptocurrencies. By integrating perpetuals directly with options on the same platform, Aevo eliminates capital fragmentation—a common pain point across DeFi protocols.
Traders benefit from:
- Unified portfolio margining across options and perps.
- Capital efficiency through shared collateral.
- Scalable order sizes (initially capped at $100,000 per order and $175,000 max position), with increases tied to growing volume and open interest.
Additionally, Aevo offers Pre-Launch Token Futures, enabling speculation on upcoming token listings before spot markets go live. These instruments lack index pricing or funding rates initially but converge to spot prices once trading begins. Due to their speculative nature, strict position caps apply.
Ribbon Vaults Integration: Unlocking Liquidity and Flexibility
Aevo is becoming the settlement layer for Ribbon Vaults, transforming how yield-generating options strategies operate. Instead of locking funds weekly, users can now exit vault positions anytime by closing them directly on the exchange—thanks to Aevo’s deep liquidity.
Key advantages:
- Vault positions become real exchange-tradable assets.
- Market makers can re-trade acquired options, use them as margin, or delta hedge using perpetuals.
- Eliminates the ~4 bps fee previously paid to Paradigm for auction facilitation—increasing net yields.
- Transitions the process to a permissionless model, opening participation to all.
Premiums collected from auctions are bridged from Aevo L2 to Ethereum Mainnet, converted to WETH or WBTC if needed, and sent to the vault contract—ensuring seamless fund flows.
Earn Vaults and Basis Trade: Advanced Yield Strategies
Earn Vaults
Earn Vaults offer principal-protected yield opportunities by combining lending with exotic options strategies. Designed as autonomous smart contracts, they let users earn enhanced returns from short-term ETH volatility while safeguarding capital. These vaults complement Theta Vaults by providing diversified risk profiles within the same ecosystem.
Aevo Basis Trade
The Basis Trade strategy profits from funding rate differentials by simultaneously buying spot assets and shorting perpetual futures. The vault maintains delta neutrality—balancing long spot with short perp positions—and earns positively when funding rates are favorable.
Funding payments act as convergence mechanisms between spot and perpetual prices. When funding is positive, longs pay shorts; when negative, shorts pay longs. This fully algorithmic strategy is continuously monitored by Aevo’s risk team to ensure stability.
Tokenomics and Governance: The Role of $AEVO
$AEVO is the native governance and utility token of the Aevo protocol, succeeding $RBN following the Ribbon merger. It grants holders voting rights proportional to staked amounts and powers decentralized decision-making around platform upgrades, parameters, and incentives.
Notably:
- $AEVO does not confer equity or ownership in legal entities.
- Voting applies solely to protocol-level decisions.
- Economic incentives are distributed based on actual user activity—ensuring fair compensation for ecosystem contributors.
At TGE (May 15, 2024), 99% of tokens were unlocked per the original 2021 $RBN distribution. However, 15% (team and backers’ allocation) has been re-locked until end of 2024.
DAO Treasury Allocation
The Aevo DAO Treasury manages long-term sustainability through strategic allocations:
- Up to 16% for user and liquidity incentives (managed by Growth & Marketing Committee).
- Up to 9% dedicated to $AEVO liquidity on DEXs and CEXs.
- Up to 5% for community events and bounties.
- 16% reserved for future spending, including annual contributor rewards.
sAEVO: Staking Benefits and Enhanced Influence
Users can stake $AEVO (or legacy $RBN) for at least nine weeks to receive sAEVO—the staked version of the token. After unstaking begins weekly, continued staking preserves benefits automatically.
Holders of sAEVO enjoy:
- Commission discounts and reward multipliers.
- Early access to new products.
- Double voting power compared to unstaked $AEVO.
- Eligibility to propose governance initiatives and join committees.
This tiered system encourages long-term participation while reinforcing decentralized governance.
Aevo DAO: Community-Led Development
The Aevo DAO—formerly Ribbon Labs Foundation—is an autonomous organization governed by $AEVO and sAEVO holders. It drives platform growth through formal voting processes compliant with applicable laws.
Responsibilities include:
- Directing development priorities.
- Managing the treasury.
- Supporting ecosystem liquidity.
- Fostering community engagement.
By decentralizing control, Aevo ensures its evolution reflects the collective will of its users.
👉 Join the future of decentralized derivatives—explore Aevo’s full suite today.
Frequently Asked Questions
Q: Is Aevo safe from counterparty risk?
A: Yes. All option sellers on Aevo OTC must post collateral on-chain in USDC, ensuring full transparency and eliminating default risk.
Q: How do I participate in governance?
A: Stake $AEVO to obtain sAEVO, which grants voting rights and eligibility to propose or join governance committees.
Q: Are there plans to expand beyond options and futures?
A: While focused on derivatives now, Aevo’s modular architecture allows future expansion into structured products and cross-margin strategies as the ecosystem grows.