🌐Overview
Racks (f.k.a opt.fun) is a platform for ultra-gamified fast-paced high volatility trading.
Racks is a platform for ultra-gamified fast-paced high volatility trading. Rack is powered by a permissionless options orderbook that enables unprecedented speed and reliability, with settlement on HyperEVM. Traders can use up to 1000x leverage to go long or short $BTC or $PUMP for 1-minute, wrapped in a gamified and fun UI. Racks is the best place to trade when news breaks or you're feeling lucky, for the possibility of extraordinary outcomes in a short time period.
Key Features
High leverage: Up to 1000x leverage on deposited collateral
1-minute expiry cycles: Each trading cycle lasts exactly 60 seconds from initiation to settlement
At-the-money strikes: All options are automatically struck at the current oracle price when the cycle begins
Binary settlement: Options expire either in-the-money (ITM) or out-of-the-money (OTM)
Gasless trading: Sponsored by the opt.fun team
Use Cases
Speculating: Capitalize on small price movements with minimal capital via 1000x leverage
Hedging: Quickly hedge spot positions over a 1-minute period, perhaps while your spot position is bridging from one chain to another
Yield Farming: Provide liquidity by selling options and collecting premiums
Market Making: Simultaneous buying and selling to capture bid-ask spreads
How It Works
1. Cycle Initiation
A new 1-minute cycle starts every minute, capturing the current spot price from Chainlink Data Streams as the strike price for all options in that cycle.
2. Trading Phase
During the 60-second window, traders can:
Place "Long" or "Short" orders with up to 1000x leverage.
Via the frontend UI, a "Long" order is a Limit order for buying a Call option and selling a Put option at the Black-Scholes fair price for the options using a volatility assumption based on historical price movements. A "Short" order is a Limit order for buying a Put option and selling a Call option.
Via the Trader SDK, traders can submit Market or Limit orders for buying or selling Put and Call options.
Cancel unfilled orders
Close out open positions
Orders are matched based on price-time priority.
3. Settlement
At expiry (the end of the 1-minute cycle), the platform:
Fetches the final oracle price
Determines which options expired ITM
Automatically distributes payouts to winning positions
Releases collateral from losing positions
4. Repeat
Get back in the arena for another cycle.
Architecture Benefits
Speed & Efficiency
Optimized for high-frequency trading with minimal gas costs
Fast liquidations and cancellations to protect payoffs for trade winners
Automated settlement to reduce operational overhead
No manual exercise required - all ITM options auto-settle
Risk Management
Non-custodial design - users maintain control of funds
Public order book for transparency and price efficiency
On-chain settlement and historical transaction logs for trust
Isolated cycles prevent cross-contamination of risk
Transparent pricing via industry leading oracle feeds
Upgradeable smart contracts for future improvements
Pausable functionality for emergency situations
Getting Started
Deposit Collateral: Deposit USDT collateral to racks.win
Place Orders: Go long or short $BTC or $PUMP with up to 1000x leverage
Auto-Settlement: Profits are automatically credited after the 1-minute expiry
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