Overview

Particle is a decentralized borrowing and short selling platform for NFTs. The terms on each position are agreed upon peer-to-peer and locked between a trader and an NFT supplier. The protocol is permissionless, as any trader wallet can select any NFT collection from any supplier. In this exchange, Particle unlocks two fundamental aspects for NFT financialization:

1. Traders can short and profit against NFT price drop.

2. Owners can directly earn customizable interest with their NFT assets.

Particle protocol is oracle-free to the floor price. The NFT suppliers and traders collectively determine the most competitive price. This design creates a new financial primitive to enable fully on-chain hedging, inventory management, yield generation, and more for the NFT asset class.

Trade flow of a short perpetual position

Illustration of Particle protocol system design