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About Ribbon
Ribbon Finance pioneered DeFi Options Vaults (DOVs), making options strategies accessible to regular users. Instead of trading options yourself, you deposit into a vault that automatically runs options strategies.
The most popular vault is covered call selling—the vault sells call options on your deposited assets to generate premium income. Put-selling vaults collect premiums by selling downside protection.
Ribbon has since merged with Aevo for active options trading, but the vault products continue to serve users wanting passive options-based yield.
Key Features
Options Vaults
Automated options strategies
Covered Calls
Earn yield on holdings
Put Selling
Premium income strategy
RBN Token
Governance and gauges
Aevo Integration
Merged with Aevo exchange
Multi-Asset
ETH, BTC, SOL vaults
Use Cases
Passive Yield
Earn yield through option premiums
Covered Call Strategy
Generate income on ETH/BTC
Put Selling
Collect premiums on stablecoins
RBN Staking
Boost vault yields
Structured Products
Access complex strategies simply
Project Info
Frequently Asked Questions
A covered call vault holds your ETH/BTC and sells weekly call options at prices above current market. If price stays below strike, you keep the premium as yield. If price exceeds strike, your upside is capped but you still earn premium.
Covered call vaults cap upside—if the asset moons, you miss gains above the strike. Put-selling vaults risk buying at high prices. In crashes, vault performance lags holding the asset. Options premium doesn't compensate for all scenarios.
Ribbon merged with Aevo, an options and perpetuals exchange. RBN converted to AEVO token. Ribbon vaults continue operating while Aevo focuses on active trading. They share infrastructure and liquidity.
Ribbon uses algorithms to select strikes that balance yield and risk. Typically strikes are 10-30% out of the money. The goal is collecting premiums without options expiring in the money too often.
Most Ribbon vaults run weekly cycles. Options expire Friday, new positions open. Premiums compound into the vault. You can withdraw after each cycle. APY varies based on volatility and market conditions.