What are Structured Products?
Structured products combine multiple financial instruments into a single position with a defined payoff.
In traditional finance, banks create these products to offer specific risk-return profiles. A simple example: an investment that provides ETH exposure only if ETH stays between $3,000 and $4,000. Move outside that range and the payoff changes according to predefined rules.
Why They Exist
Hedging — Protect against adverse price movements without fully exiting positions.
Yield — Earn returns by taking calculated exposure to volatility, rates, or other factors.
Tailored Risk — Access specific outcomes that standard instruments cannot provide.
Traditional vs. Stratium
Access
OTC, minimums often $1M+
Open market, no minimums
Transparency
Opaque pricing, bilateral terms
Onchain, verifiable payoffs
Liquidity
Illiquid, hold to maturity
Continuous trading via Hyperliquid
Counterparty
Bank or issuer
Protocol, non-custodial
Settlement
Days to weeks
Instant, onchain
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