In the Athena protocol, the duration of covers is tracked using ticks. Ticks are like markers on a timeline. They help us track the passage of time for covers and manage the pool's resources efficiently. Think of ticks as checkpoints in the life of a cover.
When you purchase a cover in Athena, its duration isn't set in stone with a fixed end date. Instead, it's measured in ticks. This flexible approach allows the protocol to adapt to changing market conditions.
The time between ticks (called "seconds per tick") can change based on how busy the pool is:
When the pool is less busy, ticks are further apart. This means your cover lasts longer in real time.
When the pool is busier, ticks are closer together. Your cover might not last as long in real time, but this reflects the increased risk in the pool.
Imagine your cover as a span on this tick timeline:
It starts at the tick when you buy the cover.
It ends at a future tick, determined by how many premiums you've paid.
As the pool's activity changes, you might see your cover's real-time duration stretch or shrink, but the number of ticks it spans remains the same.
Flexibility: Your cover adapts to market conditions automatically.
Fairness: The system ensures that all users' covers are treated equally as pool conditions change.
Transparency: You can always see how many ticks your cover has left, giving you a clear idea of your protection status.
Ticks are Athena's way of measuring time for covers.
Your cover's duration in real time can change, but its tick duration remains constant.
This system allows Athena to balance user protection with pool health dynamically.
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