Leveraged tokens can actually outperform perps.
Here’s what I mean: when you open a normal 5x long and the trade starts going your way, your effective leverage slowly drops as your margin grows.
Let's analyze
$ZEC as an example over the past month:
• Spot
$ZEC: +148.44%.
• Simulated 5x leveraged
$ZEC perp: +742.21%.
• $ZEC5L leveraged token: +2,709.70%.
That extra 1,967.49 percentage points came from staying closer to 5x while ZEC kept moving higher.
With
@BounceTech, you buy ZEC5L using USDC, and the protocol uses that backing capital to run and rebalance the underlying
$ZEC perp position on
@HyperliquidX.
You could do the same thing manually by adding to a winning perp position to maintain your leverage, but that means staying glued to the chart and managing it the whole time, and if I’m being honest, I’m getting too old to do that lol.
Right now, they’re sitting at around $1.06M in TVL, up 182.1% over the past 30 days, with ~$3.47M in open interest. This looks very underrated according to its potential, IMO.
So if you want to try it out yourself, they’re also running a trading competition soon, which is probably a good chance to see how it works across different markets:
bounce.tech/?ref=muur