What the house will publish, every week

In this phase every option you trade is traded against the house, which hedges on Hyperliquid. Here is what that means for you, what we keep private, and the numbers we will post every week so you can hold us to it.

In this phase every option you trade on Iridium is traded against the house. That is the simplest way to start an options market, and the most demanding thing to be honest about, because a market maker that quotes badly loses money quietly until it stops quoting. This post says what the arrangement means for you and what we will publish so that you can judge it.

What it means for you

There is always a price. The house quotes a bid and an ask on every series, repriced on every change of the perp, at any hour. You never wait for a counterparty.
The price is set by a model, and the model is priced off the perp. The forward, the volatility and the spread are the house's view. During US hours, the names that have a listed options market will be calibrated to it, so the quotes you see sit inside the listed market's bid and ask.
The house hedges on Hyperliquid. It does not take the other side of your view and hope; it hedges and earns the spread. How it hedges is our business; that it hedges, and how well, is yours.
Risk is capped in the engine. The house's exposure per underlying and for the whole book has limits that are enforced before a fill, not after. When a limit is reached, new risk is refused and closing trades are still allowed. Halts are announced with a reason.

What we keep private

The volatility model, the spread rules and the hedging rules. Publishing them would hand them to anyone who wanted to trade against them, and that would cost the people trading here, not just us.

What we will publish, every week

Volume by underlying and product, and the number of traders.
The house's profit or loss after hedging, so you can see whether the spread is paying for the risk or the risk is eating the spread.
How close our quotes were to the listed market during its hours, once listed calibration is live.
Uptime, quote freshness and feed lag.
Every halt, with its reason and how long it lasted.

The first post follows the launch competition. If a number is bad, it will be in the post. A market maker that only reports good weeks is not reporting.

Nothing here is investment advice. Iridium is in public test with mock USDC. Figures from third parties are cited to their source and were current when published.