Injective is collaborating with AllianceBlock to launch decentralized oil and gas futures.
In traditional finance, oil and gas futures encompass a multi-trillion dollar market but have thus far been out of reach within the DeFi ecosystem. In the coming months, users will be able to access these derivatives on the Injective derivatives exchange with up to 20x leverage. This collaboration signifies a major step forwards towards achieving the development of a comprehensive bridge between the worlds of traditional and decentralized finance.
AllianceBlock is building a decentralized, blockchain-agnostic layer-2 protocol that automates the process of converting any digital asset into a bankable product. Led by a team of ex-JP Morgan and Goldman Sachs investment bankers, AllianceBlock seeks to bring further institutional adoption to crypto markets.
This collaboration will begin with the launch of oil and gas derivatives, but over time additional asset classes such as exotics will be explored by the community. AllianceBlock is also working to build out a data tunnel with some of Injective’s oracle collaborators such as ChainLink, which will aid in a much more seamless integration of quantitative financial data.
“At AllianceBlock, it is our mission to build the first globally compliant decentralized capital market, and this partnership with Injective Protocol is an incredibly important step towards achieving this goal. This is a great step towards enriching the derivative ecosystem, and in turn the next generation of investment banking infrastructure we are so proud to be developing. This collaboration will allow institutional traders to fully engage with the burgeoning DeFi ecosystem. This partnership is a notable development that will ensure the well-functioning of the derivatives ecosystem we are building and we are delighted to be enhancing our market position by partnering with Injective Protocol in pursuit of the development of this ecosystem,” said Rachid Ajaja, CEO and Co-founder of AllianceBlock.
Injective will enable AllianceBlock in generating new derivative products that currently do not exist in the ecosystem. This includes the potential creation of new crypto indices that can aid crypto investors in attaining exposure to new asset forms as a whole. This also helps AllianceBlock to source additional liquidity since they can now be traded on Injective’s pioneering fully decentralized derivatives exchange.
“We are thrilled to be working alongside the team at AllianceBlock. This enables us to further our mission in bridging together traditional finance with DeFi. Oil and gas futures are some of the most commonly traded commodities in traditional markets but have thus far been inaccessible within DeFi. On Injective, traders will now be able to trade these markets and much more on the first truly decentralized derivatives exchange,” said Eric Chen, Injective Labs CEO.
Injective has already added a number of innovative markets to its derivatives exchange, including yield farming derivatives and even stocks such as Tesla. Moving forward, Injective will also look to leverage AllianceBlock’s innovative impermanent loss hedging product to expand our derivatives trading ecosystem.
Injective community members look forward to building out this collaboration as they continue to explore new avenues for increasing institutional adoption of DeFi.
AllianceBlock is building the first globally compliant decentralized capital market. The AllianceBlock Protocol is a decentralized, blockchain-agnostic layer 2 that automates the process of converting any digital or crypto asset into a bankable product.
Incubated by three of Europe’s most prestigious incubators: Station F, L39, and Kickstart Innovation in Zurich, and led by a heavily experienced team of ex-JP Morgan, Barclays, BNP Paribas, Goldman Sachs investment bankers, and quants, AllianceBlock is on the path to disrupt the $100 trillion securities market with its state-of-the-art and globally compliant decentralized capital market.
Injective is a lightning fast interoperable layer one blockchain optimized for building the premier Web3 finance applications. Injective provides developers with powerful plug-and-play modules for creating unmatched dApps. INJ is the native asset that powers Injective and its rapidly growing ecosystem. Injective is incubated by Binance and is backed by prominent investors such as Jump Crypto, Pantera and Mark Cuban.