Use Cases

Neon tools are custom made to empower ERC20 tokens.

The primary ability of Neon Protocol is the ability to value any ERC20 tokens in their paired currency as long as they are listed on a DEX that utilizes the standard Uniswap Interface Library.

This happens through the getUnderlyingValuefunction, the core engine of our vault smart contract.

Underlying Value

Leveraging this core vault function as the engine, we are able to build tools that enable investors to:

• Hedge risk (cover tokens against price drops without selling)

• Speculate (speculate on price movements to accumulate more tokens or its pair)

• Leverage capital (buyers pay for higher exposure than their capital is worth)

• Unlock liquidity (use tokens as collateral to get a loan, LTV is custom)