How It Works

Each Bstocks token is attached to a specific underlying market. For example, SPCX can be configured to track a SpaceX-linked perp market. When users trade SPCX, the protocol takes a tax from those transactions and uses that tax flow to open or adjust the corresponding perp exposure.

The perp position is not decorative. It is the mechanism that connects token demand with the reference market. If the underlying market moves up, the token can receive amplified upside. If the underlying market moves down, the same leverage can amplify downside.

Example

• A user trades SPCX.
• A transaction tax is collected by the protocol.
• That tax is used to build exposure in the matching SpaceX-linked perp contract.
• If SPCX is set to 3x leverage, a 1% reference move can target a stronger token response than an unlevered token.
• The same leverage applies in both directions, so losses can also be magnified.

Design Goal

The model is built to make each token more than a simple ticker. Trading activity funds the hedge or directional perp layer, while leverage makes the token react with a clearer connection to its reference market.