Abstract

Last Updated May 2022

Our mission at AthleteX is a solution for fans and market-makers to invest directly into the performance of athletes. We accomplish this mission as a decentralized exchange and issuance protocol for Athlete Performance Tokens (APTs).

The AthleteX Decentralized Exchange is adapted from the Uniswap V2 AMM. The impact of supply and demand on APT market pairs creates a price for each APT called the Market Price. The market price fluctuates independent of in-game statistics and gauges an APT's potential redemption price.

The issuance protocol supports mints and redemptions of APTs using LSP Smart Contracts. During the span before expiration, APTs are composable ERC-20 tokens functional for lending, borrowing, and trading. APT Pairs are always redeemable for a price made up of in-game statistical data based on an adjusted Wins Above Replacement (WAR) formula called the Book Value.

Over the course of an APT term, arbitrage opportunities are available when the Market Price and Book Value are inconsistent until expiry when the two values converge.