In order to become a performant node operator on the Chainlink network, one must either own or have access to the LINK token. For high value contracts, large amounts of collateral in LINK may be required. During a service agreement where a node operator must put down collateral, their LINK is fully exposed to market fluctuations and they do not have the ability to withdraw their LINK. Once the service agreement is complete, an operator’s asset may have dramatically depreciated in value, disincentivizing future node operation. By using the Total Return Swap a Chainlink node operator can hedge their exposure to the price fluctuations of LINK by selling their risk to a counterparty who wants leveraged synthetic exposure to LINK, for an interest rate fee. By using the Total Return Swap a Chainlink node operator can hedge their exposure to the price fluctuations of LINK by selling their risk to a counterparty, who wants leveraged synthetic exposure to LINK, for an interest rate fee.
Ok
ı like it
good job!!
@Roman - Seems to be working for me, you may need to to install or refresh Metamask. Try not using Brave browser as well if you are, we seemed to experience some weird issues with it.
Oops, website doesn't work ;(
If you would like to learn more about our motivation behind the project and total return swaps themselves, our litepaper goes into a bit more detail - https://github.com/securedatalinks/LinkTRS/blob/master/LINK%20TRS%20LitePaper.pdf