Get Started with Rainbow Finance

3 min readApr 14, 2021

O1 About Rainbow Finance

Rainbow Finance is the world’s first cross-chain perpetual futures trading platform. Based on the vAMM (Virtual Automated Market Maker), it can bring the on-chain perpetual futures to every asset (cryptocurrency, crude oil, gold, stocks, etc.) provide unlimited liquidity, extremely low slippage.

02 Features

1)No Market Manipulation: On-chain data, open-source code, no possibility of fraud.

2)Unlimited Liquidity: Use the vAMM algorithm as a price discovery mechanism to provide unlimited liquidity and extremely low slippage.

3) No Auto-deleveraging：Position mining + insurance vault and RBT issuance mechanism. Traders will not bear the loss of liquidated assets.

4)Coin-Margined & USD-Margined: Enable the use of any cryptocurrency for margin trading.

5)Cross-chain transactions: Use cross-chain bridges to connect assets on different chains seamlessly.

03 vAMM Mechanism

In contrast to traditional AMMs, there is no real asset pool stored inside the vAMM. Instead, the real asset is stored in a smart contract vault that manages all collateral backing the vAMM. We use vAMM as a price discovery mechanism, but not for spot trading.

04 Rainbow Tokens

05 Token Value

Deflationary tokens

All profits will be used to buy RBT and burn.

Source of profit

Transaction fees, liquidation gains, and funding rate.

Fee discount

Traders of RBT-margined contracts receive a discount in transaction fees.

Super Node Project

Supernode ambassadors need to hold a certain amount of RBT.

Governance

RBT Holders can propose and vote on upgrades to the community.

06 Governance

As Rainbow Finance transitions to community governance, the Rainbow Finance community will decide the distribution of ecosystem rewards.

Due to the nascency of the protocol and the importance of iterating fast in the early days, Rainbow Finance team members will make most of the decisions until we have an on-chain governance portal ready for all the RBT holders to participate in.

07 Roadmap

Rainbow Finance will launch the Beta version in May 2021. The timeline set for the main-net launch is in June 2021. Meanwhile, we will start transaction mining, staking mining, and liquidity mining events.

Before our public launch, we must fix all the bugs and security threats reported by DODO, Perpetual Protocol, etc. And we are working with a professional security audit. Our team will update the details of the audit on our Telegram group and Twitter.

Twitter: http://twitter.com/@DeFiRainbow

Telegram group: https://t.me/defirainbow

and channel ( https://t.me/defi_rainbow )