The Perpetual Agreement is a decentralized, Perpetual contract agreement for the transaction of assets through a virtual automated Market maker (vAMM).

Democratize futures and other derivatives.

Within the cryptocurrency DeFi ecosystem, new financial innovations are being experimented with at a rapid pace. For example, there have been innovations in converging liquidity market makers that have led to a range of new investment vehicles, including options for Hegic and Potion and spot trading for Uniswap, Balancer and Curve. However, the most important financial innovation of the past decade, popularized by BitMEX in 2016, is the perpetual swap contract. There are many financial innovations that could facilitate trading in synthetic assets, but in this respect perpetual contracts are the most fundamental innovation and represent the right direction. This is also borne out by past experience, as the daily trading volume of cryptocurrency perpetual swaps is 3-10 times that of spot, while the trading volume of other synthetic assets is only a small fraction of spot. The structure of the market is clear: perpetual swaps are the innovation best suited to synthetic asset trading.

Perpetual is a ground-breaking financial innovation. It combines the strengths of CeFi and DeFi, allowing traders to have the leverage of CeFi while maintaining the liquidity and ease of operation of AMMs in DeFi.

Perpetual is driven by a virtual automated market maker, or vAMM for short. Before trading with vAMM, traders need to deposit collateral into a vault, the same step as other derivatives exchanges (USDC only is supported initially, other collateral may be introduced later). After depositing the collateral, they can trade perpetual contracts as they would on a centralised exchange, with one key difference: in a centralised exchange, traders' counterparties are centralised limit order book (CLOB) counterparties, while perp.fi traders' counterparties are vAMM itself. The vAMM of Perp.fi uses the same xy = K curve as Uniswap. Because vAMM is virtualized, the K value is also virtual -- meaning it can be adjusted algorithmically based on volume, open interest, funding rate, and other market data. As the value of k increases, the trader's slide point is lower. Perp.fi offers traders all the features of other perpetual contract platforms, balancing long and short positions with a funding rate. The V1 version uses Chainlink as a price predictor to provide a reference base index. This financing rate formula is the same as that of FTX. Perp.fi also has an insurance fund to ensure returns for successful traders.

PERP tokens have the following functions. First, PERP holders govern the entire agreement, managing parameters including transaction fees, asset caps, insurance fund management, and so on. Second, in extreme cases when insurance funds run out, PERP holders will act as the ultimate backstop. If that happens, the agreement mints new PERP tokens and auctions them off, with the proceeds paid to the winning trader.

Any asset can have a permanent contract on the Perp and can be deployed quickly. Whether it is gold, currency, BTC, BCH, ETH, ERC-20S, XRP, EOS, LTC, ZEC, XMR, etc., using vAMM's smooth price curve, the sliding point is lower, the current maximum 10X leverage is built on L2, no network fee, experience and centralization is similar to decentralization, asset control, transaction transparency, Come and go freely

PERP holders can pledge their tokens in a Staking pool and receive royalty rewards and incentives.

PERP uses vAMM mode like Uniswap, Sushiswap etc use AMM mode

Perpetual is a ground-breaking financial innovation. It combines the strengths of CeFi and DeFi, allowing traders to have the leverage of CeFi while maintaining the liquidity and ease of operation of AMMs in DeFi. The biggest advantage of vAMM is its innovation. It utilizes AMM's price discovery mechanism to achieve rapid agreement expansion and liquidity attraction, and users do not have to worry too much about sliding points.

Performance, contract code bugs.

Perpetual Protocol is a decentralized Perpetual contract Protocol, simultaneously built on layer2, using xdai side chain technology. There is some promise in adopting the unique vAMM model. As its token, PERP is mainly used for liquidity pledge and community governance. Value is captured in staking and rewards. The feature of this agreement is to reduce the user's participation threshold and income source, and everything depends on the development of the project.