# Product Universe

Outcome contracts unlock product categories that perpetuals alone cannot support. Below is the landscape of what becomes possible when fully collateralized, event-based instruments run natively on the same infrastructure as perpetual futures.

These categories represent the design space — not a shipping roadmap. Specific market launches depend on infrastructure readiness, oracle availability, and liquidity conditions.

**Credit**

Protocol default swaps, stablecoin depeg insurance, bridge exploit coverage, lending protocol solvency bets, and validator slashing event markets. These are onchain credit derivatives — instruments for pricing and trading the risk of protocol-level failure events. Today this market doesn't exist in any tradeable onchain form.

**Rates**

Fed funds rate outcomes, treasury yield range markets, DeFi borrowing rate caps and floors, staking yield locks, and funding rate duration bets. Rate products let participants express views on or hedge against interest rate movements — both in traditional markets and DeFi-native rates like lending protocol yields and perp funding.

**Volatility**

Bounded volatility bets, simplified variance outcomes, calm-market yield products, and vol spike insurance. These let traders sell or buy volatility exposure without options complexity. A bounded vol bet — "BTC stays within ±10% for 30 days" — is a cleaner instrument than a straddle for expressing the same view.

**Yield & Principal Protection**

Fixed yield notes that pay a defined return if conditions are met. Knockout structures that deliver yield unless the underlying breaches a barrier. Reverse convertibles that offer enhanced yield with conditional asset conversion. Range accrual products where yield accumulates only while an asset stays within bounds. These are the most popular structured note categories in traditional finance, now constructible onchain.

**Tranched Structures**

Senior/junior vault tranches where senior capital is protected and junior capital takes leveraged upside. First-loss tranches that absorb initial losses before senior exposure is touched. Mezzanine layers between the two. Waterfall distributions with sequential payouts based on outcome thresholds. This is real securitization logic — the capital structure mechanics behind CLOs and CDOs — applied to onchain collateral pools.

**Insurance & Protection**

Smart contract exploit coverage, oracle failure insurance, liquidation protection for leveraged traders, governance attack coverage, and depeg puts. These compete with existing onchain insurance protocols but with a critical difference: they're tradeable on an order book, not locked in a mutual pool. Pricing is market-driven, not actuarial.

**Event-Driven & Prediction**

Token launch price outcomes, airdrop timing markets, regulatory approval bets, protocol milestone markets, and M\&A speculation. High engagement, straightforward binary resolution. The prediction market category that platforms like Polymarket have validated — now running on infrastructure with unified margin, lower fees, and composability with perps.

**Exotics**

Multi-asset basket outcomes, worst-of structures, autocallables that settle early if conditions are met, accumulators that build positions over time, and cross-denomination products. These are the most popular structured product formats in traditional finance and the highest margin category for banks. They've never existed onchain because the primitive infrastructure wasn't available.

**Real-World Crossover**

Tokenized bond default markets, commodity range products, equity earnings volatility bets, and macro data outcomes (CPI, employment, GDP). These bridge onchain infrastructure with off-chain economic events, using oracle-verified resolution of publicly reported data.